Luxury British footwear and handbag retailer Russell & Bromley has entered administration with debts of more than £59 million, leading to the closure of most of its UK stores and around 400 job losses.
150-Year-Old Brand Reduced to Three Stores
Founded in 1873, Russell & Bromley operated 43 stores across the UK before its financial collapse. In January, Next acquired the brand and selected assets for £2.5 million through a pre-pack administration deal.
Following the takeover, Next reviewed the retailer’s store network and decided to keep only three locations open: two in London and one in Stone. The remaining 43 stores were closed.
Losses and Rising Costs Put Pressure on the Business
Company documents show that Russell & Bromley recorded losses of around £20 million over two years before entering administration. The retailer also sold several properties to help fund operations as financial pressure increased.
The collapse reflects wider difficulties across the UK retail sector, where businesses have faced weaker consumer spending, higher wages and rising operating expenses.
UK Business Failures Continue to Increase
The Russell & Bromley administration comes as UK insolvencies remain under pressure. Official figures from the Insolvency Service show that 151 companies entered administration in January 2026, a rise of 14% compared with January 2025.
The number represented a broader increase in business failures, with administrations reportedly rising by 41% in January 2026 compared with the previous month. Retail and hospitality businesses have been among the sectors facing significant financial pressure.
Sarah Rayment, managing director and global co-head of restructuring at Kroll, said companies across all sectors were facing difficult trading conditions.
Directors Warned About Personal Financial Risks
Business failures can also create financial risks for company directors.Todd Davison, managing director at Purbeck Insurance Services, said some directors may have signed personal guarantees when securing loans, overdrafts or trade finance.
If those guarantees cannot be met, personal assets such as savings or property may be exposed.
More Long-Established Brands Face Difficult Conditions
Russell & Bromley joins a list of established UK names that have entered administration. Other businesses affected include National Car Parks (NCP), which had operated for almost a century, and Denby Pottery, a ceramics brand founded in 1809 with an international reputation.
The collapse highlights the continued pressure on traditional retailers as changing shopping habits, higher costs and weaker demand reshape the UK high street.
