New Look has pledged to slash its prices in a bid to reconnect with core customers, as it reported a heavy loss and falling sales today.
Over 80 per cent of the spring/summer range is now planned to retail under £20, with a renewed focus on a broader customer base
New Look said it had been pursuing an "edgier, fashion-forward consumer" to the exclusion of its wider audience.
Executive chairman Alistair McGeorge told City A.M. that the business had traditionally performed well with women between 16 and 45, and that it was "only [in] the last two years that this company has gone completely off the rails".
McGeorge was previously executive chairman between 2011 and 2014, and has returned to the business to lead a turnaround following the departure of chief executive Anders Kristiansen in 2017.
He told City A.M. that the group had "paid a very heavy price" for losing touch with its customers. But he added that te government could do more to help retailers.
"We're still the biggest employer, but you wouldn't think that the way the government have treated us," he said. "I don't see a government that's at the moment doing anything to stimulate growth, while we pick up the extra cost."