Major high street discount chain Original Factory shop could close all 137 stores

The Original Factory Shop may soon vanish from the UK high street for good.

The budget retailer announced today that it has entered administration, putting 137 stores and 1,180 staff at risk.

Modella Capital, which owns The Original Factory Shop, may phone in administrators as soon as this afternoon, according to Sky News.

The business was already on the brink of collapse when Modella bought it last year.

Modella also announced on Monday that Claire’s had gone bust,

New government financial policies, demanding landlords and a poorly handled transition to a new logistic provider hampered the brand.

Modella owns other struggling businesses, including WH Smith’s high street stores (since renamed TG Jones) and Hobbycraft.

What’s happening to the UK high street?

Boarded-up windows and shuttered storefronts are becoming an increasingly common sight in the UK.

Nearly 40 shops closed every day in 2024, the majority being banks, pharmacies and pubs, according to the retail consortium PWC.

Last year was no different, with the center for Retail Research estimating that 17,000 would shutter.

This month has already seen the closures of dozens of stores such as Poundland, River Island and Primark.

Experts have told Metro that many businesses simply can’t keep up with the ways people shop, such as through online outlets or social media.

Got a story? Get in touch with our news team by emailing us at webnews@usnewsrank.com. Or you can submit your videos and pictures here.

For more stories like this, check our news page.

Follow usnewsrank.com on Twitter and Facebook for the latest news updates. You can now also get usnewsrank.com articles sent straight to your device. Sign up for our daily push alerts here.