Claire’s UK closing 145 stores has marked one of the most significant blows to the British high street in recent years, following the accessories retailer’s collapse into administration and a partial rescue deal that left hundreds of locations without a buyer.
The US parent company of Claire’s entered bankruptcy proceedings in August 2025, triggering a cascade of insolvency processes across its international operations, including the UK and Ireland business which fell into administration shortly after.
London-based private equity firm Modella Capital agreed in late September 2025 to acquire 156 Claire’s stores across the UK and Ireland, saving approximately 1,000 jobs, but around 1,000 further roles remained at risk across the locations excluded from the deal.
The 145 stores not included in the Modella acquisition remained under administrator control, with no buyer ultimately found for them, and were confirmed for permanent closure as the process concluded.
Administrators initiated final clearance sales at affected locations ahead of the shutdowns, offering discounts to clear remaining stock as customers in towns and cities across England, Wales, Scotland, and Ireland said goodbye to local branches.
Claire’s UK closing 145 stores left unsecured creditors — including suppliers and landlords — facing only partial recovery, with the company reported to have owed at least £12 million to unsecured parties at the time of collapse.
The acquisition price paid by Modella was reported at £3.6 million, of which £1.4 million was reinvested directly into the business to reduce liabilities and stabilise the acquired operation going forward.
Market experts attributed the broader collapse to a combination of high debt levels, rising operating costs, and the brand’s declining relevance among its core teenage demographic in the face of fierce competition from ultra-low-cost online retailers including Shein and Temu.
Founded in 1961 and once operating more than 2,300 stores across approximately 17 countries, Claire’s had been experiencing financial difficulties since 2018, with the UK business representing one of the chain’s largest footprints outside North America.
The Claire’s UK closure of 145 stores forms part of a broader retrenchment of the brand globally, and serves as a stark reminder of the fragility facing mid-tier retail chains that have struggled to adapt their business models to the demands of a rapidly changing consumer market.
