High street struggles as remaining Ted Baker stores set to close

Susannah Streeter, head of money and markets, Hargreaves Lansdown: “The closure of the remaining Ted Baker stores in the UK is the culmination of a slow motion disaster, with roots stretching back to pre-pandemic times. Ted Baker shot into the fashion limelight with tailored ranges that quenched a thirst for luxury amid mid-market shoppers. But allegations of inappropriate behaviour against founder and former chief executive Ray Kelvin tarnished the brand’s image. Had the pandemic not intervened, there may have been a chance to reverse longer-term damage, but the company was then hit by a maelstrom of problems.  Although lockdowns were like a bad dream for many retailers, they were a nightmare for Ted Baker, which relied heavily on formal and occasionwear and did not have an effective online operation to rely on. While bigger operations like Next and M&S were able to switch focus to established digital channels and laid-back ranges, Ted Baker floundered, as management failed to switch gears and rev up a turnaround to halt an exodus of customers.

When Authentic Brands Group snapped up the brand in 2022, there were high hopes of a revival, but the investment needed to rejuvenate the brand didn’t materialise. The cost-of-living squeeze on fashion budgets was another hammer blow for its mid-market ranges, particularly with online fashion giants like Shein offering highly creative garments at a fraction of the price.

While Ted Baker appears to be stepping into fashion obscurity in the UK, with the store closures another blow for the high street, the brand will still have life through franchise agreements and licences, particularly overseas. But the dream for standalone boutique stores up and down the country, where aspirational shoppers would be suited and booted has come to a sorry conclusion, in a very tough fashion retail environment.’’