A UK liquidation firm has issued a warning over the state of the UK high street following the closure of 154 Claire's stores and the loss of 1,300 jobs.

The move comes as the US arm of Claire's, formerly known as Claire's Accessories, continues to struggle, having filed for bankruptcy for a second time in 2025.

Administrators for the fashion accessories chain said that around 1,300 staff will be made redundant as a result of the recent round of UK closures.

The move does not affect the retailer's 356 concessions, including many in Asda stores, and its head office.

The retailer - which is known for its jewellery, clothing accessories and ear-piercing services - was founded in the US and first launched in the UK in 1996.

It quickly expanded across UK high streets, but has come under pressure from low-priced online competitors in recent years.

The closures come after private equity owner Modella Capital hired Kroll to oversee the administration earlier this year.

It marked the second administration for the business in a matter of months, having originally been bought by Modella from administration in September last year.

Claire's had already shut 145 stores, with around 1,000 jobs lost, during the previous administration last year.

Richard Hunt, Director at Liquidation Centre, which helps businesses liquidate their firms, has issued a warning over UK high streets, citing high taxes and low footfall as key issues.

He said: "The current economic climate poses increasing risks to businesses, especially those in the retail sector. It is much easier to lose customers than to retain them, which is why regular market research and competitor analysis are so essential. Staying ahead of the curve as conditions evolve is critical to long-term survival.

"As we've seen from Claire's, the company seemed to fail to move with the evolving retail landscape. Their product offerings gradually fell out of fashion, with many young people turning to social media or online shopping to look for jewellery and accessories. Consumer tastes were shifting rapidly, yet Claire's products didn't cater to this change. Their brand image became more 'dated' as time moved on, further weakening its appeal in a highly competitive and fast-moving market.

"The broader context of the high street matters too, as the UK retail sector has been hit hard by rising rents, increasing business rates, and declining foot traffic. Claire's was particularly vulnerable because it relied on physical stores in shopping centres and depended more heavily on impulse buys, which are rarer today with the rise of online shopping. This failure to adapt ultimately put financial strain on the business, as its model became increasingly vulnerable.

"Poor financial management and decisions have contributed to the downfall of several once-iconic household brands, proving how crucial it is to have effective financial strategies and management in place.

"For businesses facing financial strain, the starting point must be a clear and honest review of income and expenditure. Every revenue stream and outgoing should be scrutinised.

"This might include negotiating with creditors, landlords, or suppliers to ease financial pressure and begin recovery. If a business reaches the point where liquidation becomes a risk, swift action is vital. Seeking advice from a licensed insolvency practitioner (IP) can help clarify your options and, in some cases, help steer the business away from insolvency altogether."