River Island to shut 33 retailers | EUROtoday

River Island plans to shut 33 retailers within the UK in a transfer which places a whole bunch of jobs in danger.

The clothes retailer mentioned extra individuals buying on-line and better prices to run shops have been behind its proposals to collectors.

It additionally desires its landlords to chop rents at an additional 71 shops that are in danger.

The family-owned retailer at present has 230 retailers and employs about 5,500 individuals, however has suffered heavy monetary losses.

Ben Lewis, chief govt of River Island, mentioned that though River Island is “a much-loved” British excessive avenue retailer, extra on-line buying means it has “a large portfolio of stores that is no longer aligned to our customers’ needs”.

He added {that a} “sharp rise in the cost of doing business over the last few years has only added to the financial burden”.

He mentioned a turnaround plan was in place, however restructuring was additionally needed.

“We regret any job losses as a result of store closures, and we will try to keep these to a minimum,” he added.

River Island made a £33.2m loss in 2023 after gross sales fell 19%, in line with its most up-to-date set of accounts.

It declined to say which shops it’s planning to shut.

The chain mentioned it intends to seek the advice of workers over the potential job losses, and can redeploy workers the place potential.

No head workplace workers will probably be instantly affected by the proposed closures, an organization supply mentioned.

Creditors will begin to vote on the plan on 4 August, and a court docket will resolve whether or not to approve the plan on 7 August.

River Island was based in 1948 underneath the Lewis and Chelsea Girl model earlier than being renamed within the Eighties.