The Body Shop will close nearly half of its 198 UK shops after the high street cosmetics chain fell into administration last week.
Administrators for The Body Shop today announced it will shut seven stores with immediate effect.
Announcing a restructuring plan to "secure the future" of the company, they said the seven stores will close today, with more closures to follow.
Nearly 100 sites are set to shut in total, and around 270 Head Office jobs will be cut.
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The Body Shop said the current store portfolio mix is "no longer viable"
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The Body Shop store closures
The seven stores immediately impacted are:
- Surrey Quays (London)
- Oxford Street Bond Street (London)
- Canary Wharf (London)
- Cheapside (London)
- Nuneaton (Warwickshire)
- Ashford Town Centre (Kent)
- Bristol Queens Road (Bristol)
The Joint Administrators said they had concluded that, after "years of unprofitability" and a "full evaluation" of The Body Shop's UK business, the current store portfolio mix is "no longer viable".
It is expected that, following the restructuring, more than half of The Body Shop's 198 UK stores will remain open.
Joint administrators said as well as the reduced store footprint, there would be a "renewed focus" on the brand's products, online sales channels and wholesale strategies.
The Body Shop said following the earlier sale of the loss-making businesses in much of mainland Europe and parts of Asia, and to support a simplified business, they would restructure roles in its Head Office.
The number of Head Office roles is expected to be slashed by approximately 40 per cent. After the changes, it's expected there will be a headcount of more than 400 full-time employees.
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Administrators said the "swift action" would help "re-energise" The Body Shop's brand
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The Body Shop Ambassador programme will also close.
Administrators said: "This swift action will help re-energise The Body Shop’s iconic brand and provide it with the best platform to achieve its ambition to be a modern, dynamic beauty brand that is able to return to profitability and compete for the long term."
Les Roberts, expert at business comparison site Bionic, said while the full impact is not clear, customers and employees "should start to review their rights, particularly when it comes to redundancy, return periods, reward points, and gift cards".
Mr Roberts added: “The Body Shop has joined the growing list of high street casualties following the pandemic and difficult cost of living crisis that has impacted the income of customers across the country.
.“The past year has been challenging for businesses across all industries, not least those in the retail sector.
"The pandemic caused major changes to customer habits, and when you factor in supply chain issues for stores and soaring energy bills, you can see why it's been difficult for The Body Shop to remain competitive against other businesses like Lush.
“The cost of living crisis continues to provide challenges for the high street, with many looking at ways to lower key expenses including supply chains, and even down to insurance and bills. The Body Shop's collapse will leave a huge dent in the UK retail space when stores close, and will add further pressure to small and large businesses alike.”