Claire’s Accessories is entering administration after its owner, Modella Capital, began insolvency proceedings in the UK and Ireland. The move follows weaker-than-expected Christmas trading and continued pressure on high street retailers, placing around 1,355 jobs at risk.
Insolvency Proceedings Initiated
Modella Capital, a private equity firm, confirmed that Claire’s Accessories could no longer trade profitably. The firm has filed notice to appoint administrators, with advisory firm Kroll expected to oversee the process.
“This has been a very tough decision,” Modella said in a statement. “We have worked intensively in an effort to save the business, having made last-ditch attempts to rescue it, but it does not have a realistic possibility of trading profitably again.”
Claire’s Accessories operates 154 stores across the UK, with a focus on fashion jewellery, accessories, and ear piercing services.
Recent Ownership and Restructuring
The retailer had already been through administration prior to its acquisition by Modella in September 2025. As part of that transaction, Modella purchased around half of the UK store estate. The earlier collapse resulted in the closure of 145 stores and approximately 1,000 job losses.
Modella said the business was already vulnerable at the time of acquisition, with trading conditions deteriorating further in recent months.
Trading Conditions and Cost Pressures
The owner cited a combination of low consumer confidence, rising operating costs, and government fiscal policy as key factors behind the decision. It also reported a decline in pre-Christmas footfall, which affected seasonal performance.
“A combination of very weak consumer confidence, highly adverse government fiscal policies, and continued cost inflation is causing many established businesses to suffer badly,” Modella said.
Retailers have faced increased costs from higher employer National Insurance contributions and minimum wage increases, alongside pressure on discretionary spending as household budgets are affected by higher energy and food prices.
Implications for Jewellers
The administration of Claire’s Accessories is relevant for jewellers operating in the youth accessories and ear piercing market, where the chain has maintained a long-standing presence. Any store closures or changes to the estate may affect demand patterns in this segment, depending on the outcome of the administration process.
More broadly, the situation reflects the ongoing pressures on physical retail businesses reliant on discretionary spending in a challenging trading environment.
