Why Are High Street Toy Shops Like The Entertainer Closing in the UK?
Is the golden era of high street toy shops in the UK coming to an end? This is the pressing question that has been circulating since The Entertainer, Britain’s largest independent toy retailer, began closing a series of its stores in 2025.
These closures have not gone unnoticed. Shoppers in towns such as Edinburgh, Luton, Croydon, Barrow-in-Furness, Poole, and Wrexham have watched as local branches hang “closing down” signs, bringing an era of joyful shopping to an unexpected pause.
But why is this happening now, and does it signal a deeper crisis within the UK’s retail sector, or is it simply a part of an evolving retail strategy by The Entertainer? While shop closures can often be seen as signs of financial distress, in this case, the reasons are more layered, strategic, and reflective of wider trends in the UK’s economic and consumer landscape.
What Has Triggered The Store Closures by The Entertainer in 2025?
The Entertainer’s decision to close stores in 2025 was not the result of sudden collapse but a series of strategic responses to long-term pressures. The company has cited multiple reasons behind the closures.
The first and most practical is that many stores had reached the end of their lease agreements. At this point, the company opted not to renew due to rising costs and lower profitability in certain locations.
Additionally, the cost of doing business in the UK has surged. Operational costs including energy bills, National Insurance contributions, and staffing costs have all increased, putting pressure on the bottom line, particularly in locations with declining foot traffic.
For many of these standalone outlets, especially those in town centres, the return on investment no longer justified the expense of keeping the stores open.
The Barrow-in-Furness branch is a case in point. Once a vibrant community hub located on Dalton Road, the store is set to close on 3rd May 2025.
While loved by the community and known for charitable initiatives, like its donation of toys to the children’s ward at Furness General Hospital, the store is now considered “no longer profitable”, according to the company.
This specific closure highlights the reality that not all store shutdowns are about financial failure; sometimes, they are business decisions made for long-term sustainability.
Which Store Locations Have Been Affected by the Closures?
The closures have taken place across a diverse set of towns and cities.
Confirmed store closures in 2025 include:
- Edinburgh
- Luton (Luton Point Shopping Centre)
- Croydon
- Barrow-in-Furness
- Poole
- Wrexham
- Brent Cross
- Wandsworth
These locations, while spread out geographically, share certain commonalities, most notably, declining high street footfall and changing local retail dynamics.
How Is The Entertainer Reshaping Its Retail Strategy?
Rather than retreating from the market entirely, The Entertainer is repositioning itself to better align with modern shopping behaviour. The company is shifting focus from standalone high street stores to smaller format retail units, online shopping, and, most significantly, Tesco concessions.
This new model is already well underway. The Entertainer now operates in over 861 Tesco stores across the UK, a massive expansion compared to its traditional store count. These in-supermarket concessions give the brand access to a wide customer base without the high fixed costs of standalone shops.
Furthermore, many consumers are increasingly inclined to shop for toys while doing their regular grocery shopping, making the Tesco partnership a strategic success.
In addition to this, the company continues to invest in its e-commerce platform, offering customers nationwide access to its full toy range from the comfort of their homes.
Has There Been a Change in Leadership or Ownership at The Entertainer?
Yes. In a significant development, founder Gary Grant stepped down in August 2025, transferring the company’s ownership to an Employee Ownership Trust (EOT). This transition ensures that the future of the business is now in the hands of its employees, fostering a stronger sense of commitment and long-term vision.
The Employee Ownership Trust model is increasingly popular in the UK, especially among companies looking to protect their values and ensure continuity beyond the founder’s involvement.
Under this model, staff members share ownership of the business and have a greater voice in its direction, while also benefiting from profit-sharing schemes.
This move not only secures the long-term health of The Entertainer but also reflects a growing trend in British retail, one where employee-led structures could drive more sustainable and ethical business practices.
Is The Entertainer Facing Financial Difficulties?
Despite the closures, The Entertainer has confirmed it remains in strong financial health. The decisions to shut down specific branches are not reactive panic moves, but strategic repositioning choices intended to future-proof the brand.
Andrew Murphy OBE, Group Chief Executive of The Entertainer, reiterated that the company is constantly reviewing its retail footprint to determine whether lease renewals make economic sense.
Where profitability cannot be guaranteed, the company is opting for closure and reinvestment in stronger, more scalable areas, such as its Tesco partnerships and online platform.
In fact, the company has plans to open new locations, particularly where consumer demand and cost structures align more favourably. This selective expansion shows that while some doors are closing, others are opening with a more sustainable vision in mind.
What Role Has The Barrow-in-Furness Store Played in the Community?
Among the closures, the Barrow-in-Furness branch stands out due to its community involvement. Since its opening in 2017, replacing a former Argos unit, the store has been a hub of activity, particularly around the holidays.
The store’s team engaged in local charity drives, organised character visits, and took part in town centre events through the Business Improvement District (BID).
Former store manager John Edwards, who led the store for seven years, expressed his sadness:
“We worked hard to make it an experience, not just a shop. It was a dream job, and I’m proud of everything we built together with the community.”
His statement underscores a deeper emotional impact these closures have not just on employees, but on the communities that came to see The Entertainer as more than a retailer.
How Does The Entertainer’s New Model Compare to the Traditional Store Format?
To better understand the strategic shift, here is a comparative overview of The Entertainer’s traditional store model vs. its new Tesco concession and online hybrid model:
| Factor | Traditional Standalone Stores | Tesco Concessions & Online Model |
| Cost Efficiency | High fixed costs (rent, utilities) | Lower overhead, shared operational costs |
| Footfall | Dependent on high street traffic | Embedded in grocery footfall |
| Reach | Limited to local shoppers | Nationwide access via Tesco & online |
| Staffing | Requires full in-store team | Smaller team with flexible operations |
| Flexibility | Limited due to physical space | Greater adaptability & scalability |
| Consumer Convenience | Requires dedicated trip | Integrated into routine grocery shopping |
This shift demonstrates how The Entertainer is adapting not just to survive but to thrive in an increasingly competitive and digital-first retail environment.
Are There Broader Trends Impacting Toy Retailers in the UK?
Yes, The Entertainer’s actions reflect broader industry patterns. Toy retailers across the UK are being squeezed by a variety of macro and consumer-level trends.
Among the most influential:
- Digital Play Over Physical Toys: With the rise of tablets, gaming, and streaming services, children’s preferences are evolving, affecting toy demand.
- Convenience Culture: Parents prefer the ease of ordering toys online rather than visiting physical stores.
- Retail Park Dominance: Town centres are losing ground to large out-of-town shopping parks that offer parking and consolidated retail options.
- Economic Strain: Post-pandemic recovery, Brexit impacts, and inflation continue to affect consumer spending and retailer profitability.
These trends are pushing traditional retailers to innovate or risk obsolescence.
Conclusion: What Does the Future Hold for The Entertainer and UK Toy Retail?
The closure of multiple Entertainer stores in 2025 is not the beginning of the end, it’s a pivot toward a more sustainable future.
As the retail landscape changes rapidly, The Entertainer is choosing to adapt rather than resist. Its partnership with Tesco, focus on smaller and more efficient store formats, and a strong e-commerce offering are central to its continued relevance.
The transfer to Employee Ownership signals a bold and values-driven direction. While high street closures may seem like losses, they are calculated steps in a bigger transformation. For loyal customers, this means The Entertainer isn’t disappearing it’s simply changing shape.
As consumer expectations shift and the economic terrain remains uncertain, retailers like The Entertainer will need to continue evolving. For now, its commitment to quality toys, family values, and strategic innovation suggest that it is well-positioned to weather the storm.
Frequently Asked Questions
Is The Entertainer closing all its UK stores?
No. Only select stores are closing based on profitability and lease expiration. The company continues to operate over 160 stores, along with 861 Tesco concessions.
Why is the Barrow-in-Furness Entertainer store closing?
The Barrow store is closing due to lack of profitability and a shift in footfall, though it had strong ties to the community and was actively involved in local events.
What is The Entertainer’s future business model?
The company is focusing on smaller stores, online retail, and expanding its presence through Tesco store concessions.
Has ownership of The Entertainer changed?
Yes. Founder Gary Grant transferred ownership to an Employee Ownership Trust in August 2025, putting the business into the hands of its employees.
Are toy sales declining in the UK?
Traditional toy sales are shifting, with more demand for digital entertainment. However, toys still have a strong market presence, especially online.
Can customers still shop at The Entertainer online?
Yes. The company’s online store remains fully operational, offering a wide range of toys and games with nationwide delivery.
Will The Entertainer open new stores in the future?
Yes. While some locations are closing, the company is evaluating potential new sites that align better with modern retail needs.
