High Street accessories retailer Claire's has entered administration again, just months after it was rescued.
Insolvency practitioners from Kroll were appointed on Monday (January 26) to handle the process, as more than a thousand high street jobs are now at risk.
Claire's first went into administration last year after its former US parent company went bankrupt, before being saved by investment firm Modella Capital.
Modella bought more than 150 Claire’s shops last year, but 145 were not included in the deal, leading to their closure, and now the remaining sites may follow.
Claire's enters administration again months after rescue deal
It was revealed in January that Claire’s and The Original Factory Shop (TOFS) were being put into administration, with Modella Capital intending to appoint administrators for both.
It revealed that "last-ditch attempts" were made to rescue Claire’s and The Original Factory Shop, but "neither has a realistic possibility of trading profitably again".
A spokesman added: “In these circumstances, administration is the only option.
"In both cases, the legacy effects of trading prior to our ownership left them highly vulnerable."
Claire's first went into administration in the UK last August, but was purchased by Modella Capital, which had previously bought WHSmith, in September.
A statement from Kroll said: "Philip Dakin, Benjamin Wiles and Janet Burt of Kroll Advisory Ltd were appointed as joint administrators of CAUKI Ltd on January 26, 2026.
"The company is continuing to trade during this period."
There are 156 remaining Claire's stores in the UK and Ireland, with more than 1,000 workers across them.
What does it mean when a company goes into administration?
As SquareUp's website explains, when a company goes into administration, it is because it is unable to meet its expenses, debt obligations or other liabilities.
The Government website adds: "When a company goes into administration, they have entered a legal process (under the Insolvency Act 1986) with the aim of achieving one of the statutory objectives of an administration. This may be to rescue a viable business that is insolvent due to cashflow problems.
"An appointment of an administrator (a licensed insolvency practitioner) will be made by directors, a creditor or the court to fulfil the administration process."
Through administration, the company may be rescued and passed back to directors, or go into liquidation or even be dissolved.
Administration will end automatically after 12 months unless the administrator asks the court or creditors for an extension.
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The Government website continues: "Once in administration, a company can continue to trade. But daily management and control passes from the directors to the appointed administrator.
"Within 8 weeks it is the administrators’ role to formulate administration proposals. Creditors are then asked to vote by a decision procedure to approve the administrators’ proposals.
"If the administration involves a sale of all or part of the company’s business, the proceeds (after the costs of the procedure) will be distributed to creditors in a statutory order of priority."
Did you shop at Claire's when you were younger? Let us know in the comments.
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