American Eagle Outfitters flies off from the UK as operating costs soar

 
Helen Cahill
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American Eagles Outfitters Profits Quadruple
The brand came to the UK in 2014 (Source: Getty)

American Eagle Outfitters has exited the UK market less than three years after setting up shop on this side of the Atlantic.

The US retailer had three outlets in the UK but shut its Bluewater shop last week, according to reports.

The firm has also started to wind down its operations in Westfield London and Westfield Stratford.

Read more: Why Brent Cross owner Hammerson still has confidence in UK retail

An American Eagle spokesperson said customers will still be able to shop for its products online.

It is thought that American Eagle was unable to soar in the increasingly competitive and costly retail environment.

Retailers have been facing rising labour costs due to the national living wage and higher business rates bills in London after the commercial property tax was re-evaluated.

Meanwhile, consumer spending has been squeezed by rising inflation. Prices have been climbing on both food and fuel, and it is thought that non-food retailers will also soon have to start increasing prices.

American Eagle opened all three of its UK outlets in November 2014, and started trading online the following September. The company was intending to have between 20 and 30 stores in the UK.

Read more: Schuh celebrates profit rise as it expands its retail footprint

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