A FAMOUS British shoe chain plunged into administration owing £37.5 million according to reports.

The retailer was forced to close all it stores following financial difficulties, although three flagship locations remain open under new ownership.

Russell & Bromley reportedly owes its unsecured creditors £37.5million after collapsing into administration earlier this year Credit: Getty Images

Russell & Bromley’s unsecured creditors are reportedly owed £37.5million according to a progress report prepared by administrators, Interpath, reported Drapers.

The report details the period between January 21, when the company first appointed administrators, and July 20.

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It says: “Based on current estimates, we anticipate that unsecured creditors may receive a dividend.”

The dividend amount has yet to be confirmed, and will depend on the “realisation of assets and payment of associated assets”.

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Interpath was first appointed administrators on January 21, but has “not drawn any remuneration” since this time.

Prepared by Will Wright and Chris Pole, the report detailed that the company had incurred expenses of £32,227 during the administration process, which has not currently been paid.

Ordinary preferential creditor claims – employees – sit around £134,000, while the claim from secondary preferential creditor HMRC adds up to £2.8million, including “pre-administration VAT liabilities and outstanding pay as you earn (PAYE) and national insurance (NI) contributions”.

Both creditors are expected to be “paid in full” “as soon as reasonably practicable”.

The only secure creditor, NatWest bank, reportedly has no outstanding money owed.

The famous footwear brand was acquired by Next in a pre-pack administration deal in January 2026.

A number of stores not included in the initial sale to Next continued to trade during the administration period before closing down on April 24.

According to the report, during this time, these stores generated £13.1million, with a reported profit of £4.1million after a “substantial majority of stock” was sold.

After the closure of the stores, “all remaining employees” were made redundant, details the report.

The Jattvibe has contacted Interpath for further comment.