Kent-based Land of Leather has become the latest victim of the credit crunch, calling in the administrators.

The furniture retailer, which has a store on the Wincheap Industrial Estate, Canterbury, suspended shares on Monday morning, while it reviewed the state of its business.

Land of Leather employs more than 850 staff nationwide and also has stores in Gillingham and Maidstone.

It has been struggling for a number of months due to poor sales caused by the falling property market.

The firm’s shares were suspended at less than 3p, valuing the entire company at just over a million pounds.

In November, several approaches were made by firms interested in buying the company, but talks quickly collapsed as Land of Leather declared the bids provided “insufficient value to shareholders”.

The company’s website also became unavailable on Monday lunchtime.

Last week rival chain Sofa Workshop said it had begun moves to appoint administrators because sales of its furniture were declining due to a tumbling property market.

Land of Leather add their names to a growing list of retailers with stores in Canterbury who have called in administrators, including Woolworths, Zavvi and Viyella.