The Durham branch of fashion retailer Jack Wills has been closed less than two weeks after the company was saved from collapse.

The North East store is one of eight to have been closed by Mike Ashley's Sports Direct, after the company bought Jack Wills out of administration at the start of the month.

Jack Wills had been struggling financially over the last few months and its problems were exacerbated when its owner Bluegem Capital Partners refused to inject more money in the business. The fashion chain was forced to call in accountancy firm KPMG to advise on its future and later entered administration.

Sports Direct bought the failed chain out of administration in a pre-pack deal, after beating off competition from Philip Day's The Edinburgh Woollen Mill.

However, despite rescuing the company Sports Direct has now said it has been forced to close eight of its 98 UK shops after failing to agree new terms with landlords.

Mike Ashley
Mike Ashley

A spokesperson for Sports Direct said:  “Since rescuing Jack Wills from administration last week, we have been working hard with landlords to try and keep as many stores in the existing portfolio open.

"Unfortunately, the landlords involved with these eight stores have not cooperated.  Where possible, Sports Direct is committed to finding new roles within the group for all affected Jack Wills staff.”

The spokesperson declined to say how many jobs were affected by the closures.

The Durham branch's closure is the latest blow to Durham's High Street after big names such as Marks & Spencer and BHS both closed in the city. However, after standing vacant for some time the commercial properties have now been filled with new retailers.

The former BHS store reopened as a TJ Hughes department store, while the M&S store has become a B&M.

The eight Jack Wills stores that have closed are:

Derby,

Durham,

Kingston,

Marlborough,

Reigate,

Rock,

St Albans,

Tunbridge Wells