Falkirk's River Island likely to close as firm plans to shut 33 branches

The shop in the Howgate Shopping Centre is one of 33 branches which the firm intends to close for good.

Other Scottish stores on the list to be axed include Cumbernauld, Kirkcaldy and Edinburgh Princes Street.

The hit list was revealed by Drapers, a leading voice in the fashion retail industry.

It is understood that the 33 River Island stores earmarked for closure are either losing money or generating a marginal profit and are scheduled to shut before January 18 next year.

The family-owned retailer’s restructuring move is in a bid to reverse recent heavy losses due to slump in trading.

Bosses blamed the closure on the “migration of shoppers from the high street to online” and higher costs to run stores.

According to its most recent set of accounts, River Island had a £33.2 million loss in 2023 after sales slid by 19 per cent.

In a statement released on Friday, Ben Lewis, River Island's chief executive, said: "River Island is a much-loved retailer, with a decades-long history on the British high street.

"However, the well-documented migration of shoppers from the high street to online has left the business with a large portfolio of stores that is no longer aligned to our customers' needs.

"We have a clear strategy to transform the business to ensure its long-term viability.

"Recent improvements in our fashion offer and in-store shopping experience are already showing very positive results, but it is only with a restructuring plan that we will be able to see this strategy through and secure River Island's future as a profitable retail business.

"We regret any job losses as a result of store closures, and we will try to keep these to a minimum."

"The sharp rise in the cost of doing business over the last few years has only added to the financial burden.

The firm, which employs around 5500 people, was founded in 1948 under the Lewis and Chelsea Girl brand before being renamed in the 1980s.

Falkirk’s first Chelsea Girl store opened in Vicar Street before moving into the Howgate and becoming River Island.

The company currently has 230 stores across the country and as well as the 33 earmarked for closure, another 71 are at risk depending on talks with landlords in order to secure improved rental deals.