Around 400 employees at the renowned shoe retailer Russell & Bromley are facing an uncertain future following its acquisition by fashion powerhouse Next. While Next has purchased the Russell & Bromley brand and certain assets, 33 stores and nine concessions in the UK and Ireland are not included in the deal. These locations will remain operational as joint administrators explore various options for their future.
Potential outcomes range from closure to the possibility of another company taking over the operations under the Russell & Bromley brand, provided a deal can be reached with Next and store owners. Established in 1879 in Sussex, Russell & Bromley prides itself on its British heritage. However, the company has struggled in a competitive market, experiencing declining sales and widening losses.
Andrew Bromley, the chief executive and a family member, explained that after a thorough strategic review with external advisors, the decision was made to sell the brand to ensure its future. He expressed gratitude to the staff, suppliers, partners, and customers for their support over the years.
In other business news, beauty brand Malin + Goetz has entered administration, leading to the closure of its seven UK stores, affecting over 70 jobs. Online orders have been temporarily suspended, but customers can still purchase products through third-party retailers such as Liberty, John Lewis, and Space NK.
Additionally, supermarket chain Morrisons reported a loss of £381 million last year due to intense competition and significant debts. Despite reducing its debt burden, the company still owes over £3.1 billion, resulting in substantial interest payments. Morrisons faces challenges in maintaining its market share and is striving to offer value to customers by implementing price cuts.
On a positive note, Nationwide building society has expanded its mortgage offerings, allowing borrowers to qualify for larger loans. The building society will now lend up to six times income to customers moving home or remortgaging at up to 95% loan-to-value. New customers must meet specific income requirements, while existing Nationwide customers have more flexibility.
Furthermore, personal finance expert Rajan Lakhani advises setting up an “autosave” rule on banking apps to boost savings potential, potentially accumulating over £1,000 in a year. Various digital banks offer autosave features, facilitating effortless saving habits for individuals.
Lastly, UK inflation rose to 3.4% in December, driven by higher tobacco and airfare prices. The increase, the first in five months, is attributed to a rise in tobacco duty and seasonal airfare adjustments during the holiday period.