Claire's and Original Factory Shop shops at risk as company collapses

As previously reported in this paper, The Original Factory Shop (TOFS) is being put into administration alongside Claire’s Accessories, after the companies’ owner said “last-ditch” measures had fallen through.

The two retailers had already undergone restructuring and were bought by investment firm Modella Capital last year.

However, their future is at risk after the owner's said it had made the “tough decision” to kickstart insolvency proceedings for the businesses.

Claire’s closed a number of branches across Wiltshire in late-2025, but news that The Original Factory Shop may be at risk of disappearing is a fresh development.

On Tuesday, January 6, employees at the brand’s branches in Calne and Corsham in Wiltshire confirmed that the branches remained open as of writing. Google also indicates that the Melksham branch remains open.

The Warminster branch, meanwhile, appears to have shut, with Google indicating it had closed permanently, and social media posts from late-2025 suggesting the branch was winding up its operations. The unit has been listed as for sale on Rightmove.

A spokesperson added: "We have worked intensively in an effort to save both businesses, having made last-ditch attempts to rescue them, but neither has a realistic possibility of trading profitably again. In these circumstances, administration is the only option.

“In both cases, the legacy effects of trading prior to our ownership left them highly vulnerable.

“The climate on the high street remains extremely challenging, and TOFS and Claire’s are not alone in experiencing difficulties.

“A combination of very weak consumer confidence, highly adverse government fiscal policies, and continued cost inflation, is causing many established and much-loved businesses to suffer badly.

“It’s a simple fact that if retailers can’t make money, they risk having to close, and jobs across the country are lost.”

Court records show that a notice of intention to appoint an administrator was filed in relation to both chains on Monday afternoon.

This means that 1,355 employees in the UK and Ireland at 154 Claire’s shops will be put at risk, along with 1,220 staff across 140 TOFS’ stores.

Modella bought more than 150 Claire’s shops last year, but 145 were not included in the deal - including branches in the Brunel Shopping Centre and West Swindon - leading to their closure.

TOFS, a discount department store chain, was sold to the investment firm in February.

Modella has become a significant force in the British retail industry, having bought WH Smith’s high street chain last year and taking over arts and crafts retailer Hobbycraft in 2024.

Many of WH Smith's stores were rebranded as TG Jones while the shops at transport hubs such as airports and train stations kept the familiar name. Its head office remains in Swindon and is also now owned by Modella.