US fashion giant Gap plans to be an online only brand and close all 81 stores in the UK. The firm plans to close stores in a phased manner between August and September. It will also close stores whose leases are expiring. The company will start a consultation process with staff to discuss closure effect on employees. The company also plans to offload stores in France and Italy.

Launched in the UK market in 1987, Gap is known for hoodies and sweatshirts. But in recent years, it has struggled to stay relevant, resorting to prolific discounting to pull shoppers in. That left Gap in a weak position to withstand the turmoil of a global pandemic.

It launched a strategic review of its entire European operations last autumn, warning that it was considering closing all its UK stores. Kate Hardcastle, Consumer and Retail Expert says the closure is a result of Gap’s failure to keep up with competition by not offering enough variety or being as cheap as competitors such as Primark. The company said it was in negotiations with another firm to take over all of stores in France. In Italy, Gap was in discussions with a partner for the potential acquisition of the stores.