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Retailers Claire's and The Original Factory Shop on brink of administration
Modella Capital cited weak consumer confidence, high costs, and supply issues causing losses of £25m and £5.6m, leading to administration and risking 2,500 UK and Ireland jobs.
- On Monday, Claire's and The Original Factory Shop are understood to be filing notices of intention to appoint administrators just days after the Christmas trading period, buying temporary breathing space from creditors.
- Operational setbacks at each chain, including TOFS's logistics provider change and Claire's loss of a major concession partner, worsened positions amid government policy and landlords reclaiming shop premises.
- The two chains trade from just over 300 stores and employ about 2,500 people, both owned by investment firm Modella Capital, which bought them in separate deals last year.
- Insolvency firms Interpath Advisory and Kroll are expected to oversee separate administrations for TOFS and Claire's respectively, with administrators likely to continue trading the shops while seeking buyers.
- Industry analysts warn of further casualties, with Sensormatic Solutions showing footfall on 23 December fell by about one in eight, while 2025 restructurings at Poundland and River Island set recent precedents.
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72 Articles
Coverage Details
Total News Sources72
Leaning Left11Leaning Right5Center34Last UpdatedBias Distribution68% Center
Bias Distribution
- 68% of the sources are Center
68% Center
L 22%
C 68%
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