Covid-19: Oasis and Warehouse to close permanently

Oasis and Warehouse high street stores and eCommerce operations will permanently close after administrators were unable to find a buyer to rescue the troubled retailers. This means that more than 1,800 staff employed across the fashion brands will lose their jobs.

Earlier this month, Oasis and Warehouse announced they had fallen into administration and appointed Deloitte to manage the business through the process. However, failure to get a rescue deal in place means that the 1,800 staff who were on furlough under the UK governments job retention scheme, are now redundant.

Rob Harding, joint administrator at Deloitte, commented: “Covid-19 has presented extraordinary challenges, which have devastated the retail industry. It is with great sadness that we have to announce a sale of the business has not been possible and that we are announcing so many redundancies today.

“This is a very difficult time for the group’s employees and other key stakeholders and we will do everything we can to support them through this.”

The two high-street stores’ stock has instead been purchased by the restructuring firm, Hilco, but this deal does not include their standalone stores or roughly 400 concessions in other retail shops.

Despite going into administration, online trading remained open “in the short-term whilst the administrators assess options for the future”. This has now ceased.

Speaking at the time administration was announced around two weeks ago, Hash Ladha, CEO of Oasis Warehouse said: “This is a situation that none of us could have predicted a month ago, and comes as shocking and difficult news for all of us. We as a management team have done everything we can to try and save the iconic brands that we love.”

The fashion industry has been hit particularly hard by the Covid-19 crisis. Earlier this month IMRG released staggering figures pointing to a 23.1% drop in online fashion sales in March, due to the UK's current state of lockdown.