Russell & Bromley, a luxury British footwear and handbag retailer founded in 1873, collapsed into administration earlier this year, owing more than £59 million, according to newly filed documents. The company, which once operated 43 stores across the UK, now has only three remaining outlets after a pre-pack insolvency process saw Next acquire the brand for £2.5 million in January 2026.
Administration Details and Financial Losses
Administrators assessed the future of the retailer's physical store estate following the acquisition. Three stores—two in London and one in Stone—were kept open by Next, while the remaining 40 were liquidated, resulting in 400 staff redundancies. Over the last two years, Russell & Bromley incurred £20 million in losses and sold several properties to fund operations before entering administration.
Broader Retail Context
The collapse comes amid a surge in UK business administrations, which rose by 41% in January 2026 compared to the same period in 2025, driven by high-street failures, rising wages, weaker consumer spending, and higher operating costs. Official Insolvency Service statistics show 151 companies entered administration in January, a 14% increase year-on-year. By late February, insolvency rates remained elevated, with significant pressures in retail and hospitality.
Sarah Rayment, managing director and global co-head of restructuring at Kroll, commented: “The key question at this point in the year is whether distress and insolvencies will continue to rise given the pressures facing UK businesses. The reality is that every sector will face headwinds this year.”
Personal Impact on Directors
Todd Davison, managing director at Purbeck Insurance Services, highlighted the personal risks for company directors. “Many directors will have signed personal guarantees to secure loans, overdrafts or trade finance,” he said, warning that failed guarantees can put personal assets, including property and savings, at risk.
Other Notable Administrations
Other brands that have entered administration this year include National Car Parks (NCP), which has been in business for almost 100 years, and Denby Pottery, which has been trading since 1809 and is known worldwide.
