Claire’s collapses into administration putting over 2,000 jobs at risk

Will Wright and Chris Pole from Interpath have been appointed as joint administrators to Claire’s Accessories UK Ltd, Claire’s European Services Limited and Claire’s European Distribution Limited.

After the appointment of administrators, Claire’s UK arm will remain open, and stores will continue to trade. Store staff will remain in their positions and customers can continue to shop in-store as usual.

The retailer has 306 stores and employs over 2,000 people in the UK and Republic of Ireland. 

The announcement comes after Claire’s US and Canadian businesses both filed for bankruptcy last week. In the US, the Bankruptcy Court approved motions to provide liquidity for the business to complete its Chapter 11 process.

“This decision, while difficult, is part of our broader effort to protect the long-term value of Claire’s across all markets,” said Claire’s chief executive Chris Cramer.

“In the UK, taking this step will allow us to continue to trade the business while we explore the best possible path forward. We are deeply grateful to our employees, partners and our customers during this challenging period.”

UK CEO at Interpath Will Wright said: ”Claire’s has long been a popular brand across the UK, known not only for its trend-led accessories but also as the go-to destination for ear piercing.

“Over the coming weeks, we will endeavour to continue to operate all stores as a going concern for as long as we can, while we assess options for the Company. This includes exploring the possibility of a sale which would secure a future for this well-loved brand.”

The announcement comes after Retail Week revealed earlier this week that the retailer had warned UK store managers to expect bailiffs turning up to recover unpaid debts. 

A source close to the business said that Claire’s senior management told staff not to hand over money from the tills or stock to bailiffs, and instead to report their presence to head office. 

Claire’s has also stopped accepting gift cards as payment from customers, and store managers were required to pre-agree hours for staff.