Gap has threatened landlords of shutting all stores across the UK in July and becoming an online-only business, resulting in the loss of thousands of jobs. As per Retail Gazette, the US fashion retailer has 95 stores across the UK. In October, it announced plans to shift to a franchise-only model. However, it is putting increased pressure on landlords as it tries to break lease contracts early.
In December, the brand announced plans to close one of its two stores on Oxford Street in central London. It operates large flagship stores down the famous shopping street opposite Bond Street underground station. Their closure reflects the difficulties the apparel retailer faces due to the COVID-19 pandemic.
As of February 1, 2020, Gap’s UK retail sales fell by 9.5 per cent to £195.1 million that year, while it produced operating losses of £40.7 million.
