Debt-ridden Julien Macdonald forced into liquidation

Julien Macdonald's fashion label, founded in 1997, is the next fashion victim forced into liquidation during unstable economic times.

Yesterday, Liquidators FTS Recovery confirmed that they are selling Julien Macdonald stock and other assets in order to seek repayment for creditors. Alan Coleman and Marco Piacquadio have been appointed joint liquidators to the fashion brand, according to WWD.

Just this February, the knitwear specialist Julien Macdonald – known for his daringly-sexy designs – returned to London Fashion Week after a three-year hiatus. His comeback was nothing short of a show stopper, with a runway of sequin-clad numbers and cut-out mini dresses. Despite the show's success, the company continued to fall short on creditor repayments.

In a statement, FTS blamed the Covid pandemic for Macdonald’s downfall, which "affected all aspects of the retail sector". It added, "no employees or existing contracts could be saved".

The company explained that Macdonald's loss from the pandemic was compounded by Debenhams' collapse in late 2020, which caused the label to lose "a significant proportion of revenue" (Macdonald had been a long-standing designer for the department store).

Coleman, Director at FTS Recovery, said: "The cash flow issues were compounded by general inflationary costs, which impacted all aspects of the business".

Britain is one of many countries struggling to bring down inflation and has witnessed a series of punishing interest rate hikes over the past year.