Fashion retailer LK Bennett has collapsed into administration putting close to 500 jobs at risk.
The high-end womenswear chain informed staff last week that the administrators would be called in unless new financing could be secured
The brand, known as a favourite of the Duchess of Cambridge, has 39 shops and around 500 staff. It becomes the latest in a string of high street and retail failures in the last 12 months.
Joint administrator Dan Hurd said tough trading conditions had been further impacted by "significant" rent increases and business rate rises. Putting the company into administration would protect the future of the business, Mr Hurd said.
Trading in stores will continue as normal as the administrators seek a buyer for the brand. However web sales will be temporarily suspended until agreements are reached between LK bennet and its suppliers to ensure that customer orders can be delivered as usual.
Mr Hurd added: “LK Bennett is a strong luxury UK brand, the new season collection was critically acclaimed, and recent trading is up, which we hope will be attractive to prospective buyers.”
Administrators have so far made 55 redundancies and closed five stores – Sheffield, Bristol, Liverpool and two in London (Brent Cross and Westbourne Grove).
In an email to staff last week, founder Linda Bennett said she had "fought as hard as I can, with all your help to turn the business into the success that I know it deserves to be".
"These are difficult and unstable times, and we are doing everything we can to identify the best way forward," she said.
Ms Bennett stepped back from the brand in 2008 before returning in 2017 as a consultant.
She invested £11.2m into the group upon her return to ownership but has been unable to turn its fortunes around.
LK Bennett made a loss before tax of £47.9m for the year to 29 July 2017.
Since the beginning of 2019, HMV, Mahabis and Patisserie Valerie have all gone into administration, although all three have since found new owners.
Last year fashion brands Coast and Orla Kiely both went bust in 2018, as did department store House of Fraser, which was subsequently bought by Sports Direct boss Mike Ashley.
