Russell & Bromley, the 150-year-old luxury footwear and accessories brand, could disappear from Britain’s high streets following a planned takeover by Next that is expected to result in the closure of all 37 stores.
Around 450 jobs are believed to be at risk as Next would only acquire the Russell & Bromley brand and intellectual property while liquidating the retailer’s physical inventory.
Next is working with stock clearance specialist Retail Realisation, which is expected to oversee store closures and a fire sale of remaining stock if the deal closes. Retail Realization is affiliated with Modella Capital, a fast-growing player in retail transformation.
Russell & Bromley was founded in Eastbourne in 1880 from the marriage of Elizabeth Russell and George Bromley, both of whom came from shoemaking families. The company has been in the family for five generations and is currently led by Andrew Bromley.
The potential collapse marks another chapter in the rapid reshaping of the UK retail landscape, as brands with long trading histories struggle under the combined pressures of weak consumer confidence, rising costs and structural changes in retail.
Modella Capital, through Retail Realization, has emerged as a major force behind recent retail rescues and collapses. Last year it acquired WHSmith’s 480 high street stores for £76 million and renamed the chain TGJones, while the terms of the sale prevented it from closing a large number of stores.
The group has also invested in Paperchase and Tie Rack, bought craft retailer Hobbycraft in 2024 and acquired The Original Factory Shop and accessories chain Claire’s. However, both companies were sent into administration last week, putting around 2,500 jobs at risk.
When announcing these governments, Modella pointed to “very unfavorable government financial policies” in addition to high inflation and subdued consumer demand.
For Next, the planned Russell & Bromley deal fits in with a proven strategy. Over the past decade, the retailer has snapped up struggling or underperforming brands, including Cath Kidston, Joules and Seraphine, often retaining the brand while exiting loss-making brick-and-mortar retail.
Unlike many of its previous competitors, Next has avoided major retail setbacks. While names like Debenhams and Topshop collapsed, Next has successfully pivoted to younger consumers and a more digital-focused model.
The group raised its profit forecast again last week after stronger-than-expected Christmas sales, the fifth increase in the past year. In the nine weeks to December 27, sales rose 10.6 percent year-on-year, with UK sales up 5.9 percent, above expectations.
In a trading update, Next said performance benefited from improved inventory availability compared to last year, as global freight disruptions and delivery issues in Bangladesh weighed on sales.
Russell & Bromley, Next, Retail Realization and Modella Capital have been contacted for comment.
