The Body Shop’s UK business has collapsed into administration, raising the prospect of mass store closures and thousands of job losses at one of Britain’s best-known beauty retailers.
The UK arm of the ethical cosmetics chain, which covers around 200 stores, was put into administration on Tuesday by its owners, the private equity house Aurelius, a matter of weeks after it was acquired in a £207m deal from previous owners Nature & Co.
Administrators at FRP Advisory will now consider all options to find a way forward for the UK business and will update creditors and employees in due course.
Stores will remain open while administrators attempt to restructure the business and it will continue to sell online. The process will not affect The Body Shop’s global franchise partners.
In a statement, the retailer said: “The Body Shop has faced an extended period of financial challenges under past owners, coinciding with a difficult trading environment for the wider retail sector.
“Having taken swift action in the last month, including closing down The Body Shop At Home and selling its business across most of Europe and in parts of Asia, focusing on the UK business is the next important step in The Body Shop’s restructuring.”