Around 2,500 jobs across the United Kingdom are now under threat after two prominent high street retailers were placed into administration. Claire's Accessories and The Original Factory Shop (TOFS) have become the latest casualties of the country's ongoing retail crisis.
Scale of the Collapse
The owner of both brands, Modella Capital, confirmed the insolvency proceedings on January 5, 2026. This decisive action follows failed last-ditch attempts to rescue the struggling businesses. A spokesperson for the owner stated that neither chain had a 'realistic possibility of trading profitably again'.
The breakdown of the job losses is stark:
- Claire's Accessories: 1,355 employees across 154 stores in the UK and Ireland are at risk of redundancy.
- The Original Factory Shop: 1,220 staff members working in 140 TOFS outlets face an uncertain future.
A 'Very Tough Decision' on a Broken High Street
The company described the move as a 'very tough decision', reached after intensive efforts to save both operations. The spokesperson pointed to 'legacy effects of trading prior to our ownership' which left the brands highly vulnerable in an already harsh economic climate.
They emphasised that the challenges are sector-wide, citing recent Sensormatic statistics showing an alarming drop in pre-Christmas footfall. A toxic mix of weak consumer confidence, adverse government fiscal policies, and persistent cost inflation was blamed for pushing established retailers to the brink.
The Wider Retail Landscape
'The climate on the high street remains extremely challenging and TOFS and Claire’s are not alone in experiencing difficulties,' the spokesperson added. Their statement delivered a sobering reality check for the sector: 'It’s a simple fact that if retailers can’t make money, they risk having to close – and jobs across the country are lost.'
This double administration is a significant blow to communities nationwide, removing familiar shopping destinations and threatening the livelihoods of thousands of workers. It underscores the profound structural and economic pressures continuing to reshape Britain's town centres.
