The collapse of one of the Scottish high street's staple retailers has prompted business leaders to call for greater support for Scotland companies.

It comes after M&Co, a business that dates back 189 years, said it is to close its 170 stores.

Founded in Paisley, Renfrewshire, and with 50 outlets in Scotland, around 2,000 jobs are expected to be lost.

The move comes after the company previously fell into administration in 2020 when the majority of the estate was saved, with 47 stores and 380 jobs lost at the time.

The assets were bought back by the family. However, administrators again took control last year.

The Herald: Leigh Sparks, professor of retail studies and deputy principal at the University of Stirling, pointed to wider issues.Leigh Sparks, professor of retail studies and deputy principal at the University of Stirling, pointed to wider issues. (Image: Newsquest)

Originally a pawnbroker, the former Mackays was steered into clothing retail in 1953 by brothers Len and Ian McGeoch. It was rebranded to M&Co in 2005.

The brand has been acquired by Peterborough-based AK Retail Holdings, which owns Yours Clothing, for an undisclosed sum in a deal that did not include the physical stores.

M&Co has been an important retailer in rural and island towns from Ayr to Stornoway.

Analysis

Retail therapy: Mike Ashley goes bargain hunting 

Controversial retail billionaire Mike Ashley has reportedly got Dundee’s Overgate Centre on his shopping list as merchants try to find their way in a sector that is arguably facing the greatest upheaval since markets first developed in ancient Greece way back in 800 BC.

The Herald: he announcement came after Renfrewshire-based M&Co appointed administrators for the second time at the end of last year, having previously collapsed in 2020.he announcement came after Renfrewshire-based M&Co appointed administrators for the second time at the end of last year, having previously collapsed in 2020. (Image: Agency)

News of the forthcoming shopping spree by Frasers Group, majority-owned by Mr Ashley, emerged yesterday as it was also confirmed that one of Scotland’s best-known clothing chains is set to close all of its 170 stores this spring.

Opinion

Scott Wright: Collapse of M&Co should set alarm bells ringing

As fate would have it, I happened to pass a shop run by stricken retailer M&Co a few days ago.

The Herald: It was the second time M&Co had fallen into administration in as many years. It was the second time M&Co had fallen into administration in as many years. (Image: Newsquest)

In the window was a notice from the administrators who had been appointed to the company two weeks before Christmas, after the historic Scottish retailer had succumbed to a combination of rising costs and faltering consumer confidence.

Change at top of family firm

Veteran chartered surveyor Janice Russell has been promoted to managing director of an Ayrshire-based family construction business founded in 1946, which has more than doubled its employee and sub-contractor numbers to around 500 in the last five years.

The Herald: The chairman post has not been filled since 2017 when Ross McTaggart, son of co-founder Willis McTaggart, retired after 52 years of service. The chairman post has not been filled since 2017 when Ross McTaggart, son of co-founder Willis McTaggart, retired after 52 years of service. (Image: McTaggart)

McTaggart Construction, which is focused on building quality affordable housing, has appointed outgoing managing director Gary Climson as non-executive chairman.

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