Navigating change: A look at the UK fashion industry's defining year in 2025

Between a Boohoo to Debenhams rebrand; the creation of new specialised fashion groups; and turnarounds that have seen some high street darlings get back on track, 2025 has been a definitive year for the UK fashion industry. Major shifts are underway, and so for many this year is just the start. Here are some of the most notable chop and changes, and where they stand now.

Acquisitions and mergers: From new groups to reclaiming ownership

The turnover of acquisitions this year was defined largely by companies forming new groups – from Mori securing its first acquisitions to the formation of a redefined luxury group upon the takeover of Matches – strengthening their positions in certain markets.

• Carlyle takes over The Very Group: the parent company of Very and Littlewoods finally found a new owner in the form of US investment firm Carlyle. The company took over Very from its long-time owners, the Barclay family, with the mission of supporting its long-term growth plan.

• Frasers Group acquires The Webster: Alongside a series of real estate acquisitions designed to bolster its physical positioning, Frasers Group also snapped up a majority stake in The Webster. The US luxury retailer will continue to operate as a standalone business, yet Frasers has expressed an intention to expand its physical and digital presence.

• Mori takes over Kidly and Storksak: Kidswear retailer Mori made its first two acquisitions this year – Kidly then Storksak – as it accelerated its expansion plans and strengthened its positioning. In an interview with FashionUnited, Mori’s founder, Akin Onal, said the company had its sights on becoming an all encompassing childrenswear brand, spanning an array of categories.
  • Interview: Inside Mori's 10-year growth playbook: Physical retail, pre-school expansion and US localisation

• Castore snaps up Belstaff: With the goal of accelerating international growth, sportswear brand Castore announced a deal to acquire Belstaff just as the heritage label returned to profitability. Belstaff’s parent company, Ineos, said it would make a “significant strategic investment in Castore at a holding company level”.

• Next rescues Seraphine: Next emerged as the winner in a bidding war for Seraphine, rescuing the maternity-wear brand from administration and promising to retain its identity as it provides a stable platform for its next chapter. The brand has been grappling with trading challenges over recent years, “exacerbated by fragile consumer confidence”.

• Stella McCartney reclaims ownership: The British designer repurchased the minority stake held by French conglomerate LVMH, taking back full control of her eponymous fashion house and reclaiming her independence. Despite reporting widening losses for the year 2024, the company affirmed its strategic path as a “conscious luxury pioneer", setting out plans to boost brand desirability and sales.

• Club L London secures Lavish Alice: In a “seven-figure deal”, Club L London took another strategic step in its journey, acquiring e-commerce company Lavish Alice, which bounced back in recent years after a restructuring of its wholesale unit. The move intends to strengthen Club L’s presence in the premium fashion market, as well as contribute to efforts of globally scaling.

• Matches finds a new home: After a turbulent two years under the guidance of Frasers Group, luxury e-tailer Matches found a new home in Huclan, a luxury group newly formed by the co-founders of membership platform Mile. The retailer, which will join a portfolio already backed by major industry players like LVMH and Hermes, is now due to relaunch in 2026.

Administrations: End of the line or a new beginning

Financial turbulence continued into 2025, forcing many major players to give-way to pressure and, in some cases, shutter businesses. For some, this was the end of the line; for others, this marked a new spring of life; while the rest are still sussing out what comes next.

• Claire’s: Accessories chain Claire’s saw its US, UK and French arm succumb to financial pressure this year, with each arm filing for respective forms of business protection and in turn seeking buyers. In the UK, Modella was the one to step up, rescuing 156 stores and securing around 1,000 jobs. In October, however, speculation mounted as to whether more locations were due to shutter.
  • Background: From bounce-back to bankruptcy: Inside Claire's renewed financial struggles

• New Look: In an effort to mitigate mounting financial challenges, New Look moved to liquidate its Irish business, thus shuttering 26 stores – adding to the slew that already closed in the UK. Speculation has continued to mount regarding a potential sale of the business, with New Look’s owners said to have appointed advisors to oversee a strategic review in August.

• Quiz: 2025 has been somewhat of a rollercoaster for Quiz. After delisting from AIM in January, the company’s UK and Ireland retail subsidiary fell into administration just a month later, forcing the closure of 23 stores. By September, however, the company returned to growth, and by October, Quiz was plotting a retail revival and expansion, bolstered by a new store concept.

• Beales: In contrast, for historic department store Beales, 2025 marked the end of the line. The retailer had filed for administration in 2020, but had managed to cling on until governmental budget shifts reportedly accelerated its plans. Its last store, located in Poole, resultantly closed in May.

• Select Fashion: High street chain Select Fashion entered its second administration since 2019 this year after filing for a CVA. The move triggered a winding up procedure by liquidator Moorfields.

• SilkFred: SilkFred, an independent brand platform, was another to succumb to tough trading conditions, filing for administration in November, resulting in the closure of its e-commerce store. Unconfirmed reports suggest it is now being circled by various industry bodies interested in rescuing the company, including Frasers Group.

Turnaround plans: Skirting administrations and setting a new path

Turnarounds and restructurings have allowed brands to avoid the clutches of administration, enabling them to pivot their operations and set out on a new path of transformation. A handful of major restructurings this year have brought industry analysts to question whether this really is the best route for the industry to take, particularly with widespread store closures leaving high streets barren and an increasing number of employees left scrambling for a lifeline. Either way, 2025 marked a turning point in many brands’ transformation efforts, with some reporting promising momentum on the back of recovery strategies.

• Mulberry: Launching January 2025, Mulberry’s transformation plan, ‘Back to the Mulberry Spirit’, set out with the purpose of returning the heritage brand to profitability through the simplification of the business and brand realignment. By June, the company saw a light at the end of the tunnel, securing a 20 million pound fundraise to aid future growth strategies, and, in November, it hailed early momentum on the back of business-wide efforts, as margins improved and its cash position strengthened.

• River Island: River Island’s restructuring plan received court approval in August, allowing it to move forward with a transformation that largely revolved around the closure of 33 stores and changes to a further 71 leases. The group was also able to secure new funding, including a 40 million pound revolving credit facility. In its latest report, executives said they were already seeing significant returns from the strategy, including an improved gross margin percentage, reduced costs and return to growth in underlying store sales.
  • Analysis: River Island rescue plan gets court approval, what now?

• Poundland: Akin to River Island, Poundland’s restructuring plan was court-approved in August, with its new owners, Gordon Brothers, receiving the green light to shutter the initially proposed 68 loss-making stores. It has since sought to further simplify its structure by cutting head office jobs and expanding the number of stores closing. Its transformation will continue into the new year, partially with a focus on broadening its fashion offering by bringing the category in-house and expanding well-performing categories.

• Burberry: A transformation that has been long in the works is that of Burberry’s. While struggling to drive forward progress in years past, 2025 marked a turning point in efforts of the heritage brand. In the first half of the year, the company reported its first comparable store sales growth in two years, alongside improvements in gross margin and operating profit. Its ‘Burberry Forward’ plan remains ongoing in a continued bid to restore brand relevance and value creation.
  • Analysis: Burberry's turnaround: Fewer staff, more brand myth – is that enough?

Rebrands and relaunches reflect promise

While all the shifts and changes may paint a picture of an industry in turbulence, for others this gave way to opportunity. The rollercoaster of a year did not stop brand refreshes and allround relaunches, each an encouraging sign.

• Topshop returns: Among the biggest news items of the year was that of Topshop’s return. After a period of operating solely online under its now minority owner Asos, Topshop set about reclaiming its cultural heritage, officially relaunching as a standalone brand. Its first steps, a dedicated e-commerce site and London runway show, made way for further expansion with major retailers across the UK and Europe. Australia is the next location pitted for its international rollout, with a local partnership due to launch in February 2026.
  • Analysis: Recognition vs. Reinvention: Exploring Topshop's challenge to reclaim fashion

• Debenhams Group renewal: Boohoo Group scrapped its long-term name to instead reflect that of its now leading brand, Debenhams. Now under the title Debenhams Group, the rebrand ushered in a change of approach, seeing the adoption of a business-wide marketplace model, for which its flagship brand serves as the blueprint. This also entails a continued evaluation of the group’s Youth Brand category, including potentially offloading PrettyLittleThing in order to accelerate progress.
  • Analysis: The business behind BoohooMan's Brand Locker marketplace

• Ted Baker sees movement: After calling in administrators and enacting a slew of store closures in 2024, Ted Baker has had a relatively quiet year. Yet, reports in mid-2025 suggested the cogs may be turning again. According to various media outlets, the British brand is mulling a return to the UK high street, with a London store anticipated to open in early 2026. No plans have yet been confirmed, however, parent company Authentic Brands Group has slowly been building the brand back up through third-party partnerships across a number of regions.

• Superdry's revival: After following through with a company-wide restructuring last year, Superdry has set about reclaiming its territory in the heritage space through a “relaunch” of the brand at Pitti Uomo. Here, the company unveiled a new identity, ‘Superdry & Co.’, ushering in a refreshed take on its image that would eventually extend into its retail estate, which has now also slowly adopted the new name and logo. Efforts appear to be paying off, as the company bounced back to profitability just a year after posting losses, marking a successful start to a sweeping transformation plan. The brand is now plotting new UK and European stores, pointing to a continued confidence in this approach.
  • Interview: Superdry returns to profit with a preppy look and brand elevation: A chat with CEO Julian Dunkerton