• Mon. Mar 4th, 2024

Administration Threatens 2,000 Jobs at The Body Shop: Can the Ethical Retailer Survive?

ByEditor

Feb 13, 2024
The Body Shop enters administration in the United Kingdom

In February 2024, The Body Shop’s UK business entered administration, putting the jobs of up to 2,000 employees at risk. The retailer’s stores will remain open while administrators work to save the UK company. FRP, the appointed restructuring firm, is tasked with finding a way forward for the business.

The Body Shop was founded in 1976 by Dame Anita Roddick in Brighton and grew into a global brand focused on ethical trading and opposing animal testing of beauty products. FRP aims to make the UK business more financially stable so that it can compete long-term and remain relevant to customers.

The administrators are expected to cut costs, including on property and rents, which may lead to job cuts. Despite the risk, it’s unlikely that The Body Shop will disappear from Britain’s High Streets after nearly 50 years. The British business has over 200 shops, a few franchises, and its headquarters in London.

In November 2023, Aurelius private equity firm purchased the brand for £207m but placed it into administration after poor sales during the Christmas trading period. There are hopes that the brand will be restructured to better compete with brands like Lush, popular with younger shoppers.

Since its sale by founder Dame Anita in 2006, shortly before her death in 2007, The Body Shop has changed hands three times.

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