Claire’s and The Original Factory Shop collapse into administration with 2,500 jobs at risk
High street chains Claire’s and The Original Factory Shop are being put into administration, putting around 2,500 UK staff at risk of redundancy.
A spokesperson for owner Modella Capital said: “Very sadly, we have had to initiate insolvency proceedings for The Original Factory Shop (TOFS) and Claire’s Accessories UK & Ireland.
“This has been a very tough decision. We have worked intensively in an effort to save both businesses, having made last-ditch attempts to rescue them, but neither has a realistic possibility of trading profitably again.
“In these circumstances, administration is the only option. In both cases, the legacy effects of trading prior to our ownership left them highly vulnerable.
“The climate on the high street remains extremely challenging and TOFS and Claire’s are not alone in experiencing difficulties.

“This is borne out by recent Sensormatic statistics and other data sources suggesting an alarming drop-off in pre-Christmas footfall.
“A combination of very weak consumer confidence, highly adverse government fiscal policies and continued cost inflation is causing many established and much-loved businesses to suffer badly.
“It’s a simple fact that if retailers can’t make money, they risk having to close – and jobs across the country are lost.”