Luxury British footwear and handbag retailer Russell & Bromley has entered administration with debts of more than \u00a359 million, leading to the closure of most of its UK stores and around 400 job losses.<\/p>\n
Founded in 1873, Russell & Bromley<\/strong> operated 43 stores<\/strong> across the UK before its financial collapse. In January, Next acquired the brand and selected assets for \u00a32.5 million<\/strong> through a pre-pack administration deal.<\/p>\n Following the takeover, Next reviewed the retailer\u2019s store network and decided to keep only three locations open: two in London and one in Stone. The remaining 43 stores were closed.<\/p>\n Company documents show that Russell & Bromley recorded losses of around \u00a320 million over two years<\/strong> before entering administration. The retailer also sold several properties to help fund operations as financial pressure increased.<\/p>\n The collapse reflects wider difficulties across the UK retail sector<\/a>, where businesses have faced weaker consumer spending, higher wages and rising operating expenses.<\/p>\n The Russell & Bromley administration comes as UK insolvencies remain under pressure. Official figures from the Insolvency Service show that 151 companies<\/strong> entered administration in January 2026, a rise of 14%<\/strong> compared with January 2025.<\/strong><\/p>\n The number represented a broader increase in business failures, with administrations reportedly rising by 41%<\/strong> in January 2026<\/strong> compared with the previous month. Retail and hospitality businesses have been among the sectors facing significant financial pressure.<\/p>\n Sarah Rayment, managing director and global co-head of restructuring at Kroll, said companies across all sectors were facing difficult trading conditions.<\/p>\n Business failures can also create financial risks for company directors.Todd Davison<\/strong>, managing director at Purbeck Insurance Services<\/strong>, said some directors may have signed personal guarantees when securing loans, overdrafts or trade finance.<\/p>\n If those guarantees cannot be met, personal assets such as savings or property may be exposed.<\/p>\n Russell & Bromley joins a list of established UK names that have entered administration. Other businesses affected include National Car Parks (NCP)<\/strong><\/a>, which had operated for almost a century, and Denby Pottery, a ceramics brand founded in 1809 with an international reputation.<\/p>\n The collapse highlights the continued pressure on traditional retailers as changing shopping habits, higher costs and weaker demand reshape the UK high street.<\/p>\n\n\nLosses and Rising Costs Put Pressure on the Business<\/h2>\n
UK Business Failures Continue to Increase<\/h2>\n
Directors Warned About Personal Financial Risks<\/h2>\n
More Long-Established Brands Face Difficult Conditions<\/h2>\n