New Look to Accelerate Closure of Nearly 100 Stores Amid Tax Raid

• Nearly 100 stores at risk, impacting 8,000 employees
• Closures linked to National Insurance hike in April
• Retailer continues to restructure its UK store portfolio

High street fashion giant New Look is speeding up plans to shut nearly 100 stores in response to the Autumn Budget tax raid and rising operational costs.

What’s Happening?

The retailer, which has restructured its store estate twice since 2018, has reduced its portfolio from 600 UK stores to 364 today. Now, 91 stores face closure as leases expire, placing approximately 8,000 jobs at risk.

Why the Rush?

The closures come ahead of a National Insurance hike announced by Chancellor Rachel Reeves, which increases costs for employers. Businesses currently pay 13.8% National Insurance Contributions (NICs) on employee earnings over £9,100 annually.

For an employee earning £30,000, this amounts to an additional £2,884.20 in NICs for the company—a significant burden on struggling retailers.

The Impact on the High Street:

Retail analysts warn that 17,000 stores could close in 2025, driven by rising taxes, reduced consumer spending, and economic pressures.

Despite the uncertainty, New Look has confirmed that all stores will remain open for now, with no final closure decisions yet made.