Huge shoe chain with 278 shops shuts over 30 stores in store shake-up
A BIG shoe chain has shut more than 30 stores over the past year, it has been revealed.
Shoe Zone has shuttered 31 of its stores in that time, after saying it would close "unviable" sites due to the increase in National Insurance contributions for employers.
Some 21 of its locations closed in the first half of the financial year alone.
The retailer has struggled as it deals with higher business costs and shoppers cutting back on spending.
Shoe Zone currently has 278 shops across the UK.
Despite the closures, it has also opened two new stores and expanded two existing ones.
The company, which sells a range of branded and own-label shoes, has reported a loss and lower sales.
It said it made a pre-tax loss of £2.3 million in the six months to March 29, compared with a profit of £2.6 million a year ago.
It's expecting to report a pre-tax profit of £5million for the year, having previously been slashed from a forecast of £10 million.
Shares in the retailer plunged by a fifth today after the update to investors.
Shoe Zone said it is planning to spend about £6million this year on renovating shops that it wants to convert to a newer format.
It is aiming to run 260 shops in total, meaning a further 18 could shut.
Russ Mould, investment director at AJ Bell, said the outlook "remains gloomy" for Shoe Zone and there is low consumer confidence.