Hobbycraft, the popular arts and crafts retailer, has confirmed a further wave of store closures across the UK. This decision comes as part of a broader restructuring effort aimed at securing the future of the majority of its stores and workforce. Several branches are already holding closing-down sales with discounts of up to 20%.
Hobbycraft’s Restructuring Plan
Hobbycraft has announced that nine more stores will cease trading this month and in September. This follows an earlier closure of nine loss-making stores in June. The company states that these measures are necessary to navigate the challenging retail landscape and ensure the long-term viability of at least 99 stores and 1,800 jobs.
Key Takeaways
- Nine additional Hobbycraft stores are closing in August and September.
- Closing-down sales are underway at some affected branches, offering up to 20% off.
- The closures are part of a strategic review to balance the company’s books.
- The retailer aims to secure the future of 99 stores and 1,800 jobs.
Affected Stores and Closing Dates
The following Hobbycraft stores are confirmed to be closing:
- Bromborough: August 4
- Stratford-upon-Avon: August 6
- Southport: August 7
- Stafford: September
- Wigan: Early September
- Maidenhead: September
- King’s Lynn: September
- Chichester: September
- Crayford: September
Reasons Behind the Closures
Alex Wilson, Hobbycraft’s Chief Executive Officer, explained that despite the strength of their offering, the company has not been immune to the widespread challenges facing the retail sector. He highlighted that closing stores is a last resort and a difficult but necessary action to maintain operations for crafters nationwide. Factors contributing to these difficulties include the rising cost of living, increased energy costs, and a continued shift towards online shopping post-pandemic.
Broader Retail Challenges
Hobbycraft’s situation reflects a wider trend impacting the high street. Numerous retailers, including Poundland, River Island, The Original Factory Shop, Footasylum, GAME, and Claire’s, have also announced store closures or are undergoing significant restructuring. Experts predict a tough period for retail in 2025, with potential job losses and store closures exacerbated by changes in taxes and wages.
