Question mark over future of Claire’s in Fair City

Closures on the cards in UK

Perth’s branch of the popular girls and teen jewellery store Claire’s Accessories could be facing the chop as the brand considers restructuring possibilities in the UK.

As one of the 32 Scottish outlets, the St John Shopping Centre store has earned a place in the hearts of thousands of young shoppers.

But yesterday it was reported that hundreds of jobs in the UK arm of the American company could be at risk. As yet locations have not been released.

Familiar high street name Claire’s - which has 350 stores and dozens of concessions - is considering a raft of British store closures to save on rents as shoppers increasingly go online to buy.

Earlier this year its US parent, Claire’s Stores Inc, filed for bankruptcy. Last week the US parent company announcing that it had emerged from ‘Chapter 11 protection’, having made changes to cut lossest.

Now the UK arm of Claire’s is said to be in the preliminary stage of working with restructuring firm Alix Partners on a number of options, one of which is thought to include a company voluntary arrangement (CVA), a controversial insolvency procedure used to shed under-performing sites.

Hundreds of jobs could be at risk if the chain presses ahead with a CVA. Claire’s yesterday refused to comment on what UK stores could be under threat when contacted by the Perthshire Advertiser.

City Centre SNP member Councillor Andrew Parrott said: “We all recognise retail is a hard area to be in across the UK given the increasing internet sector which makes it much harder for traditional high street-based retailers to succeed.

“I know from recent figures provided on vacancy rates in Perth by the City Centre Management Team that with a figure of 10 per cent, Perth has one of the better levels of empty shops when compared to places like Dundee, Stirling and Falkirk.

“City centre councillors must work hard to battle against the pervasive negative impact of internet shopping.”