Fashion chain Gap is preparing to close its 19 stores in the UK and Ireland due to the economic devastation of the coronavirus pandemic. Stating that some distribution centers are at serious risk, GAP has not yet announced which stores will end their operations
Underlining that GAP needs to make strategic moves especially in this period, some analysts said that the company will terminate some store leases in Europe that will expire next month.
Gap did not provide any details on which stores will close or how many people will be laid off as a result.. However, he said it will be different from TopShop and Debenhams, other ready-to-wear stores that have completely closed during the pandemic process.. Gap stated that it will continue operations with more than 50 stores in the UK and Ireland.
The decision is evaluated as the result of a strategic review of the San Francisco-based firm’s European operations, which started in October last year.
The company stated at that time that it was considering closing its stores in the UK, Ireland, France and Italy and that the EU distribution center near Rugby was also under threat..
Gap, which also owns Banana Republic, had to close its stores worldwide due to the pandemic, and closed its net 204 stores permanently in 2020.
World-famous clothing store GAP shuts down
Lossed $665m (£471m) per year up to the end of January 2021.
Also, topShop and Debenhams, Cath Kidston, Oasis and Warehouse also fell victim to coronavirus. Even government support was not enough for these companies to survive.
A study conducted in April revealed that approximately 190,000 jobs were lost in the retail business between the onset of the pandemic and March 31, 2021.
On the other hand, the British The Retail Consortium warned that closures and job losses remain a significant risk despite the easing of restrictions.