Hundreds of jobs are reportedly at risk at River Island as the fashion retailer prepares to shut 33 of its UK stores.
The drastic measure is part of a wider restructuring plan designed to combat a recent slump in trading, according to reports from Sky News. The family-owned chain currently operates 230 outlets across the UK.
A further 71 stores are also understood to be at risk, with their fate dependent on ongoing discussions with landlords to secure improved rental deals.
River Island has reportedly hired advisors from PwC in order to oversee the restructuring process.
River Island has been contacted for comment.
The retailer, which employs around 5,500 people, was founded in 1948 under the Lewis and Chelsea Girl brand before being renamed in the 1980s.
The proposals are set to go to a vote by the firm’s creditors – companies or individuals owed money by the retailer – in August.
The deal is expected to result in fresh funding being invested into the business in order to help fuel its turnaround.
It is among high street fashion chains to have been impacted by weaker consumer spending and competition from cheaper online rivals, such as Shein.
River Island fell to a £33.2 million loss in 2023 after sales slid by 19 per cent, according to its most recent set of accounts.
