Latest news with #JuliePalmer
The Irish Sun
13 hours ago
- Business
- The Irish Sun
Future of iconic high street chain with 281 shops in doubt as it's put for sale
THE future of an iconic high street chain with 281 shops is in doubt as it is put up for sale. Claire's Accessories is exploring a sale of the business as it feels the squeeze of higher US import costs and rising competition in the market. Advertisement 1 Claires is mulling a sale of the business leaving question marks over the future of nearly 300 stores Credit: Getty - Contributor That is according to a report by The potential sale is understood to include stores across North American and Europe. It is not guaranteed the sale will go ahead and the stores across Britain remain open and trading as usual. Advertisement The Sun has contacted Claire's for comment The reports follow a tricky period for the brand, which is popular Claire's reportedly has a $500million (£368million) loan looming overhead, which is due in December 2026. Bossess at the chain have also chosen to defer paying interest on debt and tapped US advisory firms to help shore up extra cash. Advertisement Most read in Money It is not the first time Claire's has found itself in hot water. The chain filed for Chapter 11 bankruptcy back in March 2018. This means a company intends to reorganise its debts and assets while remaining in business. Beloved high street chain with 24 Irish locations confirms Dublin city centre store closing down in 10 days in huge blow Since then, the group has largely been controlled by f ormer creditors including investment firms Elliott Management Corp. Advertisement Julie Palmer, partner at Begbies Traynor said Claire's decision to explore a sale comes as "little surprise". The retail expert said the budget jeweller has been "weighed down" by mounting debt, and Trump's tariffs have only added to its woes. She explained: "Claire's low-price offering is clearly not strong enough to win over its core customers – teens and young adults – as they now have access to a vast array of affordable and convenient products online through platforms like Amazon and Temu. "So, with fewer reasons for its customers to visit their stores, the retailer has struggled to stay relevant". Advertisement TROUBLE ON THE HIGH STREET Claire's is not the only popular brand to struggle in the face of dwindling sales and rising costs. River Island will close 33 stores and a further 70 could shut for good as part of a restructuring plan. Poundland will close 68 stores following its £1 sale to US investmet firm Gordron Brothers. But even before this announcement, the bargain chain had already planned to close 18 stores, Advertisement Read more on the Irish Sun Elsewhere, Both were bought by Modella Capital, with the investment firm making a series of closures to help shore up costs at the respective groups. RETAIL PAIN IN 2025 The British Retail Consortium has predicted that the Treasury's hike to employer NICs will cost the retail sector £2.3billion. Research by the British Chambers of Commerce shows that more than half of companies plan to raise prices by early April. A survey of more than 4,800 firms found that 55% expect prices to increase in the next three months, up from 39% in a similar poll conducted in the latter half of 2024. Three-quarters of companies cited the cost of employing people as their primary financial pressure. The Centre for Retail Research (CRR) has also warned that around 17,350 retail sites are expected to shut down this year. It comes on the back of a tough 2024 when 13,000 shops closed their doors for good, already a 28% increase on the previous year. Professor Joshua Bamfield, director of the CRR said: "The results for 2024 show that although the outcomes for store closures overall were not as poor as in either 2020 or 2022, they are still disconcerting, with worse set to come in 2025." Professor Bamfield has also warned of a bleak outlook for 2025, predicting that as many as 202,000 jobs could be lost in the sector. "By increasing both the costs of running stores and the costs on each consumer's household it is highly likely that we will see retail job losses eclipse the height of the pandemic in 2020."
Scottish Sun
13 hours ago
- Business
- Scottish Sun
Future of iconic high street chain with 281 shops in doubt as it's put for sale
Plus a retail expert reveals why the chain is in hot water RETAIL SPIN Future of iconic high street chain with 281 shops in doubt as it's put for sale Click to share on X/Twitter (Opens in new window) Click to share on Facebook (Opens in new window) THE future of an iconic high street chain with 281 shops is in doubt as it is put up for sale. Claire's Accessories is exploring a sale of the business as it feels the squeeze of higher US import costs and rising competition in the market. Sign up for Scottish Sun newsletter Sign up 1 Claires is mulling a sale of the business leaving question marks over the future of nearly 300 stores Credit: Getty - Contributor That is according to a report by Bloomberg, which said bankers at Houlihan Lokey Inc are on the hunt for potential buyers for all or part of the jewellery and piercing brand. The potential sale is understood to include stores across North American and Europe. Claire's has 2,000 stores in total across both regions, with 281 stores in the UK. It is not guaranteed the sale will go ahead and the stores across Britain remain open and trading as usual. The Sun has contacted Claire's for comment The reports follow a tricky period for the brand, which is popular amongst pre-teens and younger children. Claire's reportedly has a $500million (£368million) loan looming overhead, which is due in December 2026. Bossess at the chain have also chosen to defer paying interest on debt and tapped US advisory firms to help shore up extra cash. It is not the first time Claire's has found itself in hot water. The chain filed for Chapter 11 bankruptcy back in March 2018. This means a company intends to reorganise its debts and assets while remaining in business. Beloved high street chain with 24 Irish locations confirms Dublin city centre store closing down in 10 days in huge blow Since then, the group has largely been controlled by former creditors including investment firms Elliott Management Corp. Julie Palmer, partner at Begbies Traynor said Claire's decision to explore a sale comes as "little surprise". The retail expert said the budget jeweller has been "weighed down" by mounting debt, and Trump's tariffs have only added to its woes. She explained: "Claire's low-price offering is clearly not strong enough to win over its core customers – teens and young adults – as they now have access to a vast array of affordable and convenient products online through platforms like Amazon and Temu. "So, with fewer reasons for its customers to visit their stores, the retailer has struggled to stay relevant". TROUBLE ON THE HIGH STREET Claire's is not the only popular brand to struggle in the face of dwindling sales and rising costs. River Island will close 33 stores and a further 70 could shut for good as part of a restructuring plan. Poundland will close 68 stores following its £1 sale to US investmet firm Gordron Brothers. But even before this announcement, the bargain chain had already planned to close 18 stores, Elsewhere, Hobby Craft and The Original Factory Shop have made a series of closures in the past few weeks. Both were bought by Modella Capital, with the investment firm making a series of closures to help shore up costs at the respective groups.
The Sun
13 hours ago
- Business
- The Sun
Future of iconic high street chain with 281 shops in doubt as it's put for sale
THE future of an iconic high street chain with 281 shops is in doubt as it is put up for sale. Claire's Accessories is exploring a sale of the business as it feels the squeeze of higher US import costs and rising competition in the market. 1 That is according to a report by Bloomberg, which said bankers at Houlihan Lokey Inc are on the hunt for potential buyers for all or part of the jewellery and piercing brand. The potential sale is understood to include stores across North American and Europe. Claire's has 2,000 stores in total across both regions, with 281 stores in the UK. It is not guaranteed the sale will go ahead and the stores across Britain remain open and trading as usual. The Sun has contacted Claire's for comment The reports follow a tricky period for the brand, which is popular amongst pre-teens and younger children. Claire's reportedly has a $500million (£368million) loan looming overhead, which is due in December 2026. Bossess at the chain have also chosen to defer paying interest on debt and tapped US advisory firms to help shore up extra cash. It is not the first time Claire's has found itself in hot water. The chain filed for Chapter 11 bankruptcy back in March 2018. This means a company intends to reorganise its debts and assets while remaining in business. Beloved high street chain with 24 Irish locations confirms Dublin city centre store closing down in 10 days in huge blow Since then, the group has largely been controlled by former creditors including investment firms Elliott Management Corp. Julie Palmer, partner at Begbies Traynor said Claire's decision to explore a sale comes as "little surprise". The retail expert said the budget jeweller has been "weighed down" by mounting debt, and Trump's tariffs have only added to its woes. She explained: "Claire's low-price offering is clearly not strong enough to win over its core customers – teens and young adults – as they now have access to a vast array of affordable and convenient products online through platforms like Amazon and Temu. "So, with fewer reasons for its customers to visit their stores, the retailer has struggled to stay relevant". TROUBLE ON THE HIGH STREET Claire's is not the only popular brand to struggle in the face of dwindling sales and rising costs. River Island will close 33 stores and a further 70 could shut for good as part of a restructuring plan. Poundland will close 68 stores following its £1 sale to US investmet firm Gordron Brothers. But even before this announcement, the bargain chain had already planned to close 18 stores, Elsewhere, Hobby Craft and The Original Factory Shop have made a series of closures in the past few weeks. Both were bought by Modella Capital, with the investment firm making a series of closures to help shore up costs at the respective groups. RETAIL PAIN IN 2025 The British Retail Consortium has predicted that the Treasury's hike to employer NICs will cost the retail sector £2.3billion. Research by the British Chambers of Commerce shows that more than half of companies plan to raise prices by early April. A survey of more than 4,800 firms found that 55% expect prices to increase in the next three months, up from 39% in a similar poll conducted in the latter half of 2024. Three-quarters of companies cited the cost of employing people as their primary financial pressure. The Centre for Retail Research (CRR) has also warned that around 17,350 retail sites are expected to shut down this year. It comes on the back of a tough 2024 when 13,000 shops closed their doors for good, already a 28% increase on the previous year. Professor Joshua Bamfield, director of the CRR said: "The results for 2024 show that although the outcomes for store closures overall were not as poor as in either 2020 or 2022, they are still disconcerting, with worse set to come in 2025." Professor Bamfield has also warned of a bleak outlook for 2025, predicting that as many as 202,000 jobs could be lost in the sector. "By increasing both the costs of running stores and the costs on each consumer's household it is highly likely that we will see retail job losses eclipse the height of the pandemic in 2020."
Yahoo
10-04-2025
- Business
- Yahoo
Supermarket price war heats up in relief for squeezed consumers
The escalating price war among UK supermarkets will come as some relief for consumers, who are seeing food inflation creep up again and household bills spiral. Tesco has signalled that a price war is mounting within the sector, with the UK's largest grocery chain saying it expects to make as much as £400 million less in profit next year as a result of what it calls 'a very competitive market'. Chief executive Ken Murphy said the company is facing mounting pressure to slash prices, after competitor Asda recently promised the company's biggest price cuts in 25 years. But the ruthless competition between grocers has undoubtedly been driven by the discounters Aldi and Lidl, with 'Aldi price match' signs becoming a familiar site to consumers. March's monthly analysis of prices across the UK's eight biggest supermarkets shows Aldi was once again the cheapest, while Asda held on to the top spot for a bigger list of groceries. At Aldi, a shopping list of 79 grocery items cost £133.73 on average across the month, with Lidl costing only 67p more for those using the Lidl Plus loyalty scheme and 70p more without. For a comparison of a bigger trolley of 203 items – which does not include Aldi and Lidl as they have a smaller range of branded products – Asda came out cheapest at £498, beating Tesco with a Clubcard by £5.03. Commenting on Tesco's half year results, Julie Palmer, partner at Begbies Traynor, said: 'The market will be keeping a close eye on whether Tesco can maintain its pole position in the UK. 'To do so, it must both reassure investors that its strategy is sound and convince customers that it remains the retailer of choice in difficult times, all while battling fierce competition from the discounters, higher wage bills and the possibility of increasing UK inflation.' Dan Lane, lead analyst at Robinhood UK, said: 'Away from the US tariff backdrop, Tesco has a price war of its own to fight. The 'Aldi price match' promo has been a hit and Ken Murphy will surely be readying a round of 'Asda price match' now too. 'Lidl and Aldi have chipped away at Morrisons and Asda in particular – with Asda ready to flirt with some pyrrhic pain in the short term, it's unlikely to overtake Tesco's 28% market share but denting it could well be on the cards. 'Tesco's drop in operating profit and lower outlook today won't help just before another race to lower prices though. Pricing pressures are clearly surfacing and might just get worse over the summer before they get better. Supermarket prices are now 3.5% higher than a year ago, up from 3.3% in February after falling from 3.7% in December, according to analysts Kantar. The British Retail Consortium has said it expects food inflation to hit 4% by the second half of the year amid geopolitical tensions and a £7 billion increase in costs from the autumn Budget. However, UK consumers can be assured that the competitive landscape and its price wars are significantly dampening down cost-of-living pressures here. In New Zealand, the Government is considering a possible break-up of a supermarket 'duopoly', with Prime Minister Christopher Luxon acknowledging that Kiwis 'pay some of the highest prices on the planet for food'. Mr Luxon has promised to tackle regulatory barriers to bring in potential supermarket challengers to compete with the duopoly. Sign in to access your portfolio
The Independent
10-04-2025
- Business
- The Independent
Supermarket price war heats up in relief for squeezed consumers
The escalating price war among UK supermarkets will come as some relief for consumers, who are seeing food inflation creep up again and household bills spiral. Tesco has signalled that a price war is mounting within the sector, with the UK's largest grocery chain saying it expects to make as much as £400 million less in profit next year as a result of what it calls 'a very competitive market'. Chief executive Ken Murphy said the company is facing mounting pressure to slash prices, after competitor Asda recently promised the company's biggest price cuts in 25 years. But the ruthless competition between grocers has undoubtedly been driven by the discounters Aldi and Lidl, with 'Aldi price match' signs becoming a familiar site to consumers. March's monthly analysis of prices across the UK's eight biggest supermarkets shows Aldi was once again the cheapest, while Asda held on to the top spot for a bigger list of groceries. At Aldi, a shopping list of 79 grocery items cost £133.73 on average across the month, with Lidl costing only 67p more for those using the Lidl Plus loyalty scheme and 70p more without. For a comparison of a bigger trolley of 203 items – which does not include Aldi and Lidl as they have a smaller range of branded products – Asda came out cheapest at £498, beating Tesco with a Clubcard by £5.03. Commenting on Tesco's half year results, Julie Palmer, partner at Begbies Traynor, said: 'The market will be keeping a close eye on whether Tesco can maintain its pole position in the UK. 'To do so, it must both reassure investors that its strategy is sound and convince customers that it remains the retailer of choice in difficult times, all while battling fierce competition from the discounters, higher wage bills and the possibility of increasing UK inflation.' Dan Lane, lead analyst at Robinhood UK, said: 'Away from the US tariff backdrop, Tesco has a price war of its own to fight. The 'Aldi price match' promo has been a hit and Ken Murphy will surely be readying a round of 'Asda price match' now too. 'Lidl and Aldi have chipped away at Morrisons and Asda in particular – with Asda ready to flirt with some pyrrhic pain in the short term, it's unlikely to overtake Tesco's 28% market share but denting it could well be on the cards. 'Tesco's drop in operating profit and lower outlook today won't help just before another race to lower prices though. Pricing pressures are clearly surfacing and might just get worse over the summer before they get better. Supermarket prices are now 3.5% higher than a year ago, up from 3.3% in February after falling from 3.7% in December, according to analysts Kantar. The British Retail Consortium has said it expects food inflation to hit 4% by the second half of the year amid geopolitical tensions and a £7 billion increase in costs from the autumn Budget. However, UK consumers can be assured that the competitive landscape and its price wars are significantly dampening down cost-of-living pressures here. In New Zealand, the Government is considering a possible break-up of a supermarket 'duopoly', with Prime Minister Christopher Luxon acknowledging that Kiwis 'pay some of the highest prices on the planet for food'. Mr Luxon has promised to tackle regulatory barriers to bring in potential supermarket challengers to compete with the duopoly.
