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END OF THE ROAD

Staples to disappear from the high street after American owner sells struggling UK business

The UK part of the American-owned stationary firm is set to disappear from the high street

Staples stores

STATIONARY brand Staples is to disappear from the UK high street after its US owner sold the struggling business.

The UK arm of American firm Staples - which employs around 1,100 staff across 106 stores in Britain - has been bought by restructuring specialist Hilco for a "nominal sum".

 The shop will be slowly phased out from high streets in the UK
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The shop will be slowly phased out from high streets in the UKCredit: PA:Press Association

Hilco said it would phase out the Staples brand in the UK over the coming months. Plans for the store estate and the impact on staff are not yet known.

Paul McGowan, of Hilco Capital, said: "While retail in the UK has been challenged recently, a team led by retail veteran Alan Gaynor will work alongside the existing management team to build a plan for success for the business."

The sale comes after Staples Inc put its European operations under review in May.

Staples said it would continue to review how the business operated in Europe.

The stationary shop has been trying to compete with supermarket's and the rise of web-based sellers by promising to match their prices.

However, the rise of web-based sellers has taken a hit on their business after it recorded a pre-tax loss of £5million in its latest accounts in January.

Last week Marks & Spencer announced the closure of around 60 clothing and home stores as it makes a switch to focus on food.

CEO Steve Rowe, who took over in April, is planning to close the stores over the next five years, but will open 200 more Simply Food shops across the UK by 2019 in the biggest shake up for years.

Vulnerable M&S stores have been singled out by retail analysts, although there has been no official statement on which shops will close.

It comes just three months after BHS shut the door on over 200 stores around the UK.

British Home Stores, a name that was a fixture on most high streets in the UK, disappeared after nearly a century after first opening in Brixton, London.


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