Select Fashion: UK clothing chain on brink of collapse with 35 store closures set for this weekend - full list
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- Select Fashion faces collapse, with 35 UK stores set to close by March 15
- Liquidation process underway, overseen by restructuring firm Moorfields
- Financial struggles blamed on rising costs, wage pressures, and economic downturn
- Hundreds of staff impacted, with many fearing they won’t receive redundancy pay
- Employees claim poor communication, learning of closures through letters and last-minute calls
A British fashion retailer is reportedly on the brink of collapse, with the struggling chain set to close 35 stores across the UK.
According to documents seen by The Sun, Select Fashion has brought in advisers to oversee a liquidation process.
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Hide AdThe chain is expected to have shut 35 stores by this weekend, having gradually reduced its footprint since the start of the year.
Last year, Select entered a company voluntary arrangement (CVA), a restructuring process that allows financially distressed businesses to repay creditors over a fixed period while continuing to trade.
The process was initially managed by restructuring specialists Moorfields. But The Sun reports that Moorfields is now overseeing a liquidation process, meaning the business will be wound up if it cannot repay its debts.
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Select previously fell into administration in 2019 before being rescued by Genus UK. It is now owned by Turkish businessman Cafer Mahiroglu.
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Hide AdThe retailer had warned of financial strain due to the cost-of-living crisis, rising wages, and higher taxes, all amid a challenging economic climate.
The full list of Select Fashion stores set to close:
- Accrington
- Ashington
- Ashton-under-Lyne
- Birkenhead
- Bletchley
- Bristol Broadmead
- Bristol Broadwalk Shopping Centre
- Chippenham
- Coalville
- Cowley
- Crewe
- Eastleigh
- Hartlepool
- Hatfield
- Hemel Hampstead
- Hull Hessle
- Hull St Stephen's
- Kidderminster
- Merthyr Tydfil
- Middlesbrough
- Newport
- Peterlee
- Port Talbot
- Preston
- Runcorn
- Scarborough
- Scunthorpe
- South Shields
- Southampton
- Thornby
- Torquay
- Wellingborough
- Witham
- Wolverhampton
- Worksop
The closures are expected to be completed by Saturday, March 15, and have dealt a major blow to hundreds of staff at the affected stores.
A senior employee told The Sun that the company’s liquidation was kept "under wraps," with staff only learning about it through a letter from Moorfields.
Workers have also been left in the dark about redundancy pay, fearing they may not receive any compensation due to the company’s financial collapse.
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Hide AdOne long-serving employee, who had been with Select for over a decade, claimed they are owed £10,000.
Speaking anonymously, they said: “I’m a single parent with no job to go to. I now have to figure out how to pay my mortgage and bills with no redundancy money to help.”
They added that staff were informed of redundancies via phone calls just before Christmas, with little communication from head office since - aside from being instructed to count stock.
“Some managers were even sent to help shut down other stores and received no thanks for it,” they said. Their situation is not unique, as all 40 employees at the affected stores are reportedly receiving no redundancy pay.
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Hide AdWhat do you think about Select Fashion's collapse and its impact on employees? Have you been affected by similar situations or experienced store closures in your area? Share your thoughts and experiences in the comments section.
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