Jones Bootmaker's impending bankruptcy puts 1,145 jobs at risk
Jones Bootmaker is understood to be close to going under after a deal with a private equity company collapsed, putting 1,145 jobs at risk. The shoe retailer has 100 stores and a few concessions in department stores. This follows our report earlier this week when we highlighted that rival shoe retailer Brantano had fallen into administration, putting over 1,000 jobs at risk. A rise in costs since the post-Brexit fall in sterling and a lacklustre UK footwear market has hit specialist shoe stores, who are also grappling with increased pressure from stores, such as New Look, which have increased their footwear ranges.
Jones Bootmaker is expected to call in administrators on Friday in a move that will put more than 1,100 jobs at risk.

The shoe retailer, which employs 1,145 people, has nearly 100 stores and a handful of concessions in department stores. It is understood to be close to going under after a deal with a private equity firm collapsed.

Jones’s difficulties came a day after rival shoe retailer Brantano fell into administration putting more than 1,000 jobs at risk. Bothare owned by Alteri, a private equity investor.

Pavers, a York-based footwear specialist, is believed to be interested in buying some of the Jones stores to add to its 120-store chain but a deal is not expected to be finalised in time to resolve a cash crunch caused by a forthcoming rental bill.

Other parties, thought to include the footwear group Kurt Geiger, are also interested in buying the 160-year old Jones brand. More than one source close to the situation said a potential deal to rescue the chain, with the buyout firm Endless, had fallen through because Alteri wanted more cash than was on offer from potential buyers.

One source said the Endless deal collapsed only hours before completion as Alteri wanted £1m more than the £10m offered.

Alteri has been in negotiations to sell Jones for several weeks but filed a notice of intention to appoint administrators last week, which protected the retailer from creditors seeking to recover debts for a limited period.

Specialist footwear retailers have been under pressure in recent years as clothing chains such as New Look and H&M have increased the number of shoes and boots they sell.



Last year’s relatively mild winter, which has led to lower sales of higher-priced boots, and increases in business rates and the legal minimum wage have added to pressure on the industry.

The cost of sourcing goods abroad has also risen since the value of the pound collapsed against the dollar after the Brexit vote last June.

Brantano is not the first British retail group to collapse under the control of Alteri, a group backed by the US private equity firm Apollo Global Management. Last year the tailoring specialist Austin Reed went into administration soon after Alteri increased its control over the group’s debt.

Many retailers have struggled to cope with rising costs and lacklustre sales this year. The upmarket lingerie brand Agent Provocateur was rescued by a sale to Sports Direct owner Mike Ashley via a pre-pack administration this month.

Jones has humble beginnings. The business was launched in 1857 by Alfred Jones and his wife Emma who opened their first store in Bayswater, west London, before expanding nationwide. The Bayswater store opened from 8am to 8pm, and until midnight on Saturdays, while the pair looked after 11 sons and three daughters.