King's stationery supplier Smythson bought by Cameron ally after years of losses

Telegraph

01-07-2025

Smythson, the stationery supplier to the Royal family, has been sold to an investment fund founded by an ally of Lord Cameron following years of losses.
The 138-year-old group, which once employed Lord Cameron's wife, Samantha, as creative director, has been acquired by Oakley Capital, a private equity firm founded by entrepreneur Peter Dubens.
The sale comes after years of losses during which Smythson was forced to grapple with declining consumer confidence and soaring costs, leading to a string of shop closures.
The company holds a Royal warrant to supply stationery and office supplies to the King and Queen having been granted its first warrant by the late Queen in 1964.
Its ties to the Royal family date back to the 1890s when the group was commissioned to produce stationery for Queen Victoria and it also held a Royal warrant from the late Queen Elizabeth the Queen Mother.
Mr Dubens is a former Tory donor and ally of the former prime minister, who has given tens of thousands of pounds to the Conservatives over the last two decades.
Mr Dubens reportedly bid £20,000 for a tennis match with Lord Cameron when he was leader of the opposition, and in 2015 made Lord Cameron an honorary member of Mark's Club, the members' club he co-owns with billionaire restaurateur Richard Caring.
Founded in 1887 by Frank Smythson, Smythson started life as a producer of stationery before beginning to make handbags in the 1900s. It has also counted Sir Winston Churchill and Grace Kelly as customers.
Mrs Cameron worked for the company for 13 years, starting her career as a window dresser and working her way to become creative director. When Lord Cameron became prime minister in 2010, she moved to become a consultant.
Smythson was previously owned by the Italian handbag maker Tivoli, which bought it in 2009 in a deal said to be worth around £18m.
Smythson posted a £6.7m pre-tax loss over the year to April 2024, slightly narrowing from a loss of £8m the prior year. However, revenues fell from £32.1m to £28.5m.
Luxury struggles
In its most recent accounts, the company said: 'Demand in the luxury retail sector remains uncertain, subject to global and local economic conditions resulting from the aftermath of the Covid pandemic, ongoing impact from Ukrainian war and recent increase in interest rates and cost of living.'
Britain's luxury brands were also dealt a blow when Rishi Sunak's government decided to axe VAT-free shopping for tourists in 2021.
Bosses have argued that the removal of this perk has made London a less attractive location for wealthy travellers to come and shop.
Smythson has closed a handful of stores in recent years including its New Bond Street flagship in a bid to streamline the company and make its operations more profitable.
Mr Dubens said: 'Heritage brands cannot be created overnight: it can take decades or longer to build a loyal customer base through the application of high-quality craftsmanship, product innovation and marketing excellence.
'We are lucky to be able to welcome Smythson to Oakley.'