Iconic British shoemaker embarks on ‘heartbreaking’ cost-cutting spree

Church’s, the 150 year-old Northampton shoemaker, has been forced to cut jobs and close shops after a drop off in Asian tourists visiting its shops.

The company, which made Tony Blair’s “lucky” shoes that he wore for PMQs while Prime Minister, has been forced into a major restructure of its business after losing almost £50m over the last two years.

Church’s has closed 24 shops around the world and slashed jobs “across all areas of the business”, directors wrote in newly published accounts.

The company lost £23.6m last year, saying fewer tourists from Asia visiting its shops were partly to blame.

Church’s made around 50 redundancies at its Northamptonshire factory earlier this year, including some employees who had worked there for decades.

Gary Clarke, 60, told the Northampton Chronicle and Echo in April: “I gave 44 years of my working life to the company and it is such a shame. All other boot and shoe companies seem to be prospering, but not Church’s.

“It’s heartbreaking and I know others are in the exact same situation as me.”

Church’s has been struggling to turn around performance after sales crashed to a 40-year low in 2021 during the pandemic. Industry watchers have claimed a decision to raise prices contributed to the slump. A pair of the company’s handmade shoes can cost upwards of £900.

Sales more than doubled in 2022, rising from £6m to £13.3m as the effect of the pandemic eased.

However, pre-tax losses narrowed only slightly, shrinking from £24.7m to £23.6m.

Church’s was set-up by shoemaker Thomas Church in 1873. The formerly family-owned business has been owned by Prada since 1999, when the Italian luxury goods giant bought the company in a $170m deal.

Mr Blair credited his repeated success at the despatch box to a pair of lucky Church’s Chetwynd brogues that he wore religiously to every Prime Minister’s Questions between 1997 and 2007.

The former Prime Minister told The Times in 2007: “I know it’s ridiculous, but I’ve worn them for every PMQ’s. I’ve actually had them for 18 years.”

The pair are believed to have cost Mr Blair around £150 but today sell for £940.

Church’s shoes have also been worn by two James Bonds: Pierce Brosnan wore them in Goldeneye and The World is Not Enough, while Daniel Craig wore a pair in Quantum of Solace.

A spokesman for the company told The Telegraph: “In light of the challenging environment in which we are operating, we have had to make a number of difficult decisions but are confident that these changes will set Church’s up for success.

“Over the past two years, we have been focused on a significant reorganisation of Church’s to put the business on a strong footing and ensure sustainable, long-term growth.

“We remain committed to strengthening Church’s industrial heritage in Northampton and ensure that this distinctly British brand can grow long into the future.”