Why has Mothercare gone into administration and which stores are closing?
Mothercare has become the latest high street chain to announce that it has gone into administration, with 2,500 jobs at risk as a result.
The children’s company, which has said it will file a notice of intent to appoint administrators today, made the move after shutting 55 shops last year.
It is the latest in a string of high street chains to go bust in recent months, following Karen Millen, Jack Wills and Bon Marche.
So why has it gone into administration and which stores will close as a result?
Here’ s what you need to know.
Why has Mothercare gone into administration?
The retailer is going into administration after suffering a £36.9m loss in the financial year to March.
They said of their 79 remaining UK branches: ‘It has become clear that the UK retails operations of the group…are not capable of returning to a level of structural profitability and returns that are sustainable for the group.’
‘Furthermore, the company is unable to continue to satisfy the ongoing cash needs of Mothercare UK.’
The company’s international businesses – it is franchised internationally from roughly 1,000 stores in 50 countries – has not been affected.
Mothercare is said to employ 500 staff on full-time contracts and 2,000 on part-time contracts in the UK.
Which Mothercare stores are closing?
At the moment none of the chain’s 79 stores are closing, with the company confirming that they would continue to trade as normal for the time being.
They shut 55 stores last year and have been trying to sell their UK arm for some time.
These are the branches which closed in 2018.
- Aldershot
- Bangor Northern Ireland
- Bedford
- Bexleyheath
- Blackburn
- Bradford
- Bromley
- Brighton
- Brixton
- Cambridge (Grafton Centre)
- Coatbridge
- Clacton
- Colliers Wood
- Croydon
- Crystal Peaks
- Denton
- Doncaster
- Eltham
- Exeter
- Fort Kinnaird
- Guildford
- Harrogate Early Leaning Centre
- Holloway Road
- Hounslow
- Inverness
- Kings Lynn
- Kirkcaldy
- Llandudno
- Londonderry
- Maidstone
- Newbury
- Newport Isle of Wight
- Newport, Wales
- North Shields
- Plymouth
- Plymouth Early Leaning Centre
- Portsmouth
- Rotherham
- Reading
- Stockport
- Macclesfield
- Salisbury
- Stafford
- Sutton
- Walsall
- Wandsworth
- Weston Super Mare
- Worthing
- Yeovil
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