SUPERMARKET giant Tesco have put 200 Bolton jobs in jeopardy after pulling out of a contract with a kitchen and bathroom firm.

Mark Two, based on Bury Road, has engaged in a war of words with Tesco and faces closure, if the two companies do not reach an agreement.

As well as the loss of jobs, hundreds of customers are believed to have been affected, with many not receiving the kitchens and bathrooms they have purchased.

Dave Cullen, chief executive of Mark Two’s parent company Ultra Finishing based in Burnley, said 200 jobs were at risk.

He said: “Since 2008 Mark Two has enjoyed a strong relationship with Tesco, which has served more than 11,000 customers providing high quality kitchens and bathrooms.

"About a year ago Tesco informed Mark Two of its intention to exit the kitchen and bathroom market."

He added: “We hope Tesco will work with us to ensure customers get the kitchens and bathrooms they have paid for.”

Tesco has set up a hotline number for people affected, and are offering full refunds for customers who have paid a deposit, as well as providing assistance to those with unfinished bathrooms.

In a statement on its website, Tesco said: “...We have taken the decision to close Tesco Kitchens and Tesco Bathrooms.

“Although Mark Two continues to trade its business, holds all customer payments and is legally responsible for honouring all outstanding customer orders, warranties and supplier payments, it is our belief that they will not be fulfilling those obligations.”

Mr Cullen is encouraging Tesco to re-enter negotiations, and added: “If Tesco come back to the table Mark Two could satisfy customer orders.”

All Mark Two employees whose jobs are under threat have been informed of the situation.

The number set up by Tesco to advise customers is 0800 028 2363.