Claire’s Accessories: a rescue deal that did not last

Claire’s Accessories, the jewellery and accessories chain popular with teenagers, has faced one of the toughest years in its history. In August 2025, the UK and Ireland business, which ran 306 stores and employed more than 2,150 people, went into administration. Joint administrators Will Wright and Chris Pole said they would try to keep stores open « as a going concern » while a buyer was found.

A month later, private equity firm Modella Capital stepped in with a rescue deal. It bought 156 of the stores, saving around 1,000 jobs, but the remaining 145 shops were left out of the deal and were expected to close for good, with clearance sales starting immediately.

Modella blamed the collapse on « very weak consumer confidence, highly adverse government fiscal policies and continued cost inflation » on the British high street. Changing shopping habits and growing competition from online marketplaces had already made the business loss-making before the administration.

The story took another turn in January 2026. Modella itself announced that Claire’s, together with another chain it owned, The Original Factory Shop, had gone back into administration. This time, around 150 stores and 1,350 jobs were at risk. Modella admitted: « This has been a very tough decision. We made last-ditch attempts to rescue them, but neither has a realistic possibility of trading profitably again. »

Administrators are now searching for new buyers. If none is found, the two chains could be liquidated completely, closing every remaining branch. As one industry commentator put it, a well-known brand alone is not enough to guarantee the survival of a large network of physical shops.

Adapted from BBC News, London Business Mag and Time Out, August 2025 – January 2026