Around 400 employees at the long-standing shoe retailer Russell & Bromley are facing an uncertain future following its acquisition by fashion powerhouse Next. Although Next has acquired the Russell & Bromley brand and certain assets, the deal excludes 33 stores and nine concessions in the UK and Ireland, which will continue to operate as administrators explore potential options. Possible outcomes range from closure to a potential takeover by another company, including negotiation with both Next and current store operators.
Established in Sussex in 1879, Russell & Bromley, a family-owned business, has been struggling in a highly competitive market, experiencing declining sales and widening losses. Andrew Bromley, the company’s CEO and a family member, explained that after a strategic review with external advisors, the decision was made to sell the Russell & Bromley brand to ensure its future. He expressed gratitude to staff, suppliers, partners, and customers for their longstanding support.
In other news, beauty brand Malin + Goetz has entered administration, leading to the closure of its seven UK stores and impacting over 70 jobs. While online orders have been temporarily halted, customers can still purchase Malin + Goetz products through third-party retailers like Liberty, John Lewis, and Space NK.
Meanwhile, Morrisons, a supermarket chain, reported a loss of £381 million last year due to intense competition and substantial debts. The company’s debt has decreased, but it still owes over £3.1 billion, resulting in significant interest payments. Morrisons is striving to maintain its market share amid fierce competition, with concerns raised about potentially losing its position as the fifth largest grocer in the UK.
Nationwide building society has announced an expansion in eligibility for super-size mortgages, offering up to six times income for customers moving home or remortgaging at up to 95% loan-to-value. This change aims to assist borrowers seeking higher loan amounts, although it raises concerns about increased debt levels.
A personal finance expert recommends setting up an “autosave” rule on banking apps to maximize savings potential, highlighting potential savings of £1,164 per year. Digital banks like Monzo, Starling, Revolut, and Chase offer auto-saving features to help users build their savings effectively.
As house prices in the UK continue to rise, there has been a 2.5% annual growth in November, with the average house price reaching £271,000. While inflation has impacted various sectors, mortgage borrowers can benefit from lower interest rates, with the average two-year fixed mortgage rate currently at 4.77%.
Consumer advocate Martin Lewis advises mobile phone users to seek better deals, especially if they are out of contract, to avoid overpaying. He highlights the importance of switching providers to access competitive prices and savings opportunities.
Lastly, the UK inflation rate rose to 3.4% in December, driven by higher tobacco and airfare prices. The increase marks the first uptick in five months, reflecting the impact of changing economic factors on consumer prices.