Beloved fashion retailer on brink of collapse in weeks as 33 stores face closure

Dozens of River Island stores will close next year (Picture: Getty Images)

The future of River Island looks uncertain after the chain warned that it is running out of money.

The fashion brand – which brought us deep V-necks and Rihanna t-shirts – could collapse for good unless it is given the green light to shut 33 stores and slash rents on 71.

They have told creditors that they have enough cash until August,but if the High Court rejects its rescue plan,the company would be unable to pay its debts and ‘will not be able to continue trading’.

River Island,founded in 1948 by brothers Bernard and David Lewis,says it has faced issues caused by a shift to online shopping,the cost of living crisis,the Russia-Ukraine war and evolving threats to cyber-security.

The retailer is asking creditors to approve the plan,but if the it is rejected,the billionaire Lewis family – estimated to be worth £2.7 billion – face putting forward a loan to help pay its bills.

She told Metro: ‘The high-street isn’t dying,it’s evolving. If brands want to survive,they need to stop thinking purely in terms of products and start thinking in terms of experience.

‘Today’s audiences,especially younger digital-first generations,are looking for more than transactional purchases in stores. Gen Z in particular is driving that shift. This generation is craving authenticity and escapism,especially in turbulent times.

‘With online shopping offering speed and ease,physical retail must work harder; it needs to give people a reason to show up.’

A River Island spokesperson told Metro that a restructuring plan was given to creditors on June 20.

They added: ‘In combination with the company’s ongoing Transformation Strategy,the Plan is a proactive measure to place the company on a firm footing. 

‘We have been having positive conversations with key stakeholders and are confident that we will achieve approval of the plan in the next few weeks.’