The iconic fashion label has confirmed that it is moving forward with closing all of its stores, as announced earlier this year. This is largely due to financial strain.
Despite being bought out of administration by Gordon Brothers of Poundland, Radley prepared to say goodbye to its 21 brick-and-mortar retail sites in May.
Now, it’s been reported that the handbag brand, known for its signature Scottie dog logo, allegedly owes large sums of money to its previous suppliers.
According to Drapers, it’s understood that one of the former Radley suppliers is owed a six-figure sum for stock and materials such as leather, zips, and buckles.
Meanwhile, another supplier is also thought to owed tens of thousands of pounds.
A source close to the brand told Drapers: “It is so damaging for the long-term partners to the business as Radley treated them really badly [by not paying them].
“They [suppliers] don’t deserve that.”
London’s Covent Garden and Glasgow are home to Radley's main stores and are expected to be open until the end of the summer to sell remaining stock.
Along with the UK designers’ 19 concessions and outlets, a total of 21 stores will be closed, causing a further blow to the British high street.
In the previous financial year, Radley suffered a pre-tax loss of £5.5 million, with turnover dropping from £72million to £65.8million.
After the deal with Gordon Brothers, the retail giant took on the Radley brand name and intellectual property assets.
Radley’s losses come after a “sustained period of challenging economic conditions for the retail environment," FTI Consulting, the administrators in charge of the deal, said.
Radley has been contacted for comment.
Full list of Radley retail sites set to close doors:
