One of Britain’s oldest department shops has collapsed into administration, putting quite 1,000 jobs in danger .Beales has appointed KPMG as administrators after failing to secure a purchase .
The emporium began trading in Bournemouth in 1881 and has 22 shops.It is understood there’ll be no immediate closures and Beales stores will still trade, although the web site offline.
The business has tried to secure rent reductions and was in negotiations with potential investors and buyers during a bid to preserve itself.In the year to March 2019, Beale Ltd reported a loss of £3.1m, up from £1.3m for the year earlier as costs swelled and sales dipped.
Beales’ chief executive Tony Brown led a management buyout of the firm in 2018.
Beales has stores within the following towns and cities:
- Chipping Norton
- St Neots
The company’s decision to appoint administrators comes at a difficult time for UK retailers.Recent data from British Retail Consortium revealed that retail sales fell for the primary time during a quarter of a century last year.
John Lewis has warned that its staff bonus could also be unsure because it reported Christmas sales at its department shops were down 2% for stores open a minimum of a year.
Some companies are prospering, however.
Sports fashion retailer JD Sports says it expects to report full-year profits at the highest end of forecasts. Next lifted its profit forecast after better than expected sales over Christmas trading period.