UK shoe giant closing 14 stores - losses hit £5m
The company has blamed government policies and the ongoing war in the Middle East for their situation.
Shoe Zone has shut 14 stores across the UK after reporting losses of over £5 million. The footwear chain revealed that its shops have shut in the last six months following a period of economic struggle.
Shoe Zone, which operates 259 stores in Britain, has plunged into a £5.3 million loss before tax for the 26 weeks to March 28. Bosses have confirmed that 14 sites have shut with losses hitting almost double the £2.3 million reported during the same period in 2025. As well as difficult trading conditions, including a drop in consumer spending, the company recently blamed the slump on the ongoing war in the Middle East. Shoe Zone, which is headquartered in Leicester and employs around 2,000 people, said the conflict had "increased customer caution" as well as "additional costs such as container prices and transportation costs."
As reported by The Sun, the company's revenues dropped by 12% to £62.9 million over the period leading to March 28. The brand has also traded out of 19 fewer stores compared to 12 months ago.
Shoe Zone now expects a full-year loss of between £1 million and £2 million as the trading environment continues to be tough. Despite the 14 closures, the firm hopes to keep investing in its remaining branches with an increased focus on social media to boost sales, including the new TikTok shop.
Charles Smith, chairman of Shoe Zone, said the company is struggling with economic difficulties and a drop in consumer confidence. He warned that the situation has worsened following the Labour Government's move to increase the National Living Wage and National Insurance contributions.
Meanwhile, the war in Iran has also caused shipping and transport prices to surge. Wider pressure caused by the conflict also weighs on shoppers with less disposable money.
The company said trade continues to be "negatively impacted by a further weakening in consumer confidence, following the Government's last two budget announcements, as well as the geo-political issues in the Middle East".
Shoe Zone bosses are also slashing the size of their distribution centre. It has been confirmed they are leaving three out of six leases to reflect the drop in stores.
