British Home Stores
Defunct British department-store chain selling clothing, home goods, food and related household merchandise.
Last updated August 22, 2026
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Overview
British Home Stores, commonly known as BHS, was a British department-store retailer established in 1928. It began as a variety-store business modeled partly on the growth of Woolworths, but initially positioned itself below direct competition by imposing a five-shilling price ceiling. The first shop opened in Brixton, London, and the business expanded through a network of stores that typically combined clothing and household merchandise with small cafeterias and grocery departments. BHS became a public company in 1933 and continued expanding after the Second World War, reaching 94 stores by the end of the 1960s. During the 1970s and 1980s, BHS developed into one of the United Kingdom's largest high-street and shopping-centre department-store chains. It opened locations in emerging indoor malls and out-of-town retail developments, and participated in the SavaCentre hypermarket venture with Sainsbury's. The company also developed overseas franchise operations, particularly in the Middle East and other regions, although its directly operated Irish business was withdrawn during the early 1980s. BHS was included in the FTSE 100 when the index was launched in 1984. The chain broadened beyond basic clothing and household goods over time. Its range included home furnishings, lighting, kitchen appliances, food, furniture, children's clothing, electrical products and branded merchandise. Larger stores and dedicated home formats carried furniture, rugs, curtains, wall art and kitchen-related products, while online operations extended the assortment into large appliances, computers and televisions through third-party arrangements. The Tammy children'swear label became an important part of the offer after its integration into BHS stores. In 1986, BHS merged with Habitat and Mothercare to form Storehouse plc. The business underwent several identity changes, including the use of BhS and Bhs branding, before restoring the full British Home Stores name on British high streets in 2005 and again during the 2015 restructuring. In May 2000, entrepreneur Philip Green acquired BHS from Storehouse for £200 million and took it private. BHS later became part of Green's Arcadia Group in 2009, with some stores receiving concessions from Arcadia brands such as Evans and Wallis. Persistent trading difficulties eventually led Green to sell the chain. In March 2015, BHS was transferred to Retail Acquisitions Ltd for a nominal £1. The new owners announced a modernization and rebranding programme, but the retailer continued to suffer losses, store closures and pressure from its pension obligations. In March 2016, it sought a company voluntary arrangement and disclosed a large pension deficit. BHS entered administration on 25 April 2016 with approximately 11,000 jobs at risk. No purchaser was found for the chain as a whole, and its final UK stores closed on 28 August 2016. The insolvent business entered liquidation in December 2016. The BHS intellectual property was subsequently acquired by the Al Maya Group. BHS.com was relaunched for the United Kingdom in 2016, closed in 2018, and later relaunched by Manchester-based Litecraft Group under licence, primarily for lighting products. Licensed or franchised BHS operations also continued for a period in parts of the Middle East, Africa and Europe. The former UK department-store chain is defunct, although the brand has had limited post-liquidation licensed and overseas retail activity.
History
British Home Stores was founded in 1928 by American entrepreneurs seeking to reproduce the appeal of a broad-assortment variety retailer without directly confronting Woolworths. Its first store opened in Brixton. The original pricing policy limited goods to one shilling, but the ceiling was raised to five shillings in 1929, allowing the company to offer a wider selection. Early branches commonly included cafeterias and grocery departments, helping establish the store as a convenient general retailer rather than a specialist clothing business. BHS became a public company in 1933 and expanded steadily through the post-war period. By the late 1960s, BHS had 94 stores across the United Kingdom. Its subsequent growth reflected the transformation of British retailing: the chain opened in shopping centres and out-of-town developments, including the Merry Hill Shopping Centre, and adapted its formats to changing patterns of car-based shopping. A joint venture with Sainsbury's created the SavaCentre hypermarket business. Sainsbury's assumed full control of SavaCentre in 1989, and the stores were later converted to the Sainsbury's format. BHS encountered a downturn in the early 1980s and responded by refurbishing stores and emphasizing products with stronger margins. It withdrew from its directly operated Dublin store, while overseas growth continued through franchises. The first overseas franchise opened in Gibraltar in 1985, followed by licensed or franchised activity in locations across Europe, the Middle East and other markets. In the 1990s, BHS opened stores in Moscow and St Petersburg and later established operations or franchises in Central Asia, the Gulf, the Mediterranean and the Far East. The company merged with Habitat and Mothercare in 1986 to create Storehouse plc. This period brought corporate rebranding and a series of attempts to modernize the store environment. A new “millennium concept” format, developed with the retail design firm 20:20 and first presented in Cambridge in 1995, used updated signage, warmer lighting and a more contemporary interior. These initiatives were intended to attract more sophisticated shoppers while retaining BHS's value orientation. Storehouse encountered serious difficulties in the late 1990s, with BHS and Mothercare among its weakest businesses. Philip Green acquired BHS in May 2000 for £200 million and converted it from a public company into a private business. Green subsequently acquired Arcadia Group, and BHS was integrated into Arcadia in 2009. Shared support functions were consolidated, and a number of BHS stores hosted concessions for Arcadia labels including Evans and Wallis. The chain also expanded its home proposition, electrical ranges, online retailing and furniture offer. Tammy, acquired with Etam UK in 2005, was integrated into BHS stores to strengthen its children's and girls' fashion business. The full British Home Stores fascia returned to selected UK locations in 2005, particularly former Allders at Home sites, as the retailer sought to build larger homeware and furniture stores. In the early 2010s, BHS introduced a refreshed logo, new store designs and a new e-commerce site. Food trials began in 2014, and the company continued to use overseas franchises, including locations in Armenia, the Falkland Islands and Mongolia. Losses persisted despite these initiatives. In January 2015, Philip Green confirmed that he was considering a sale. On 12 March 2015, Retail Acquisitions Ltd bought BHS for £1. Richard Price departed as managing director and Darren Topp became interim chief executive. The new owners announced a £60 million rejuvenation plan, restored the full British Home Stores name and continued plans for food halls, but many stores were already threatened with closure. In March 2016, BHS sought a company voluntary arrangement to restructure its obligations. Its pension scheme deficit was disclosed as £207 million in the application, while later administration reporting put total debts at approximately £1.3 billion, including substantial pension liabilities. On 25 April 2016, BHS entered administration. Duff & Phelps attempted to sell the business, but no buyer acquired the chain as a going concern. Stores were progressively closed, with the final UK outlets shutting on 28 August 2016; the insolvent company entered liquidation in December. The collapse became a major British corporate-governance and pensions controversy. A parliamentary committee report in July 2016 blamed leadership failures and personal greed, and described the collapse as an unacceptable example of corporate conduct. Subsequent legal proceedings continued to examine the conduct of former directors. In 2024, the High Court ordered two former directors to pay £18 million in connection with wrongful trading and breaches of corporate duties, subject to the court process concerning the final amount. After the UK liquidation, the BHS intellectual property was acquired by the Al Maya Group. The brand was relaunched online in the United Kingdom in September 2016, but BHS.com closed in 2018. Litecraft Group later relaunched a licensed BHS website focused mainly on lighting. Overseas licensed and franchised operations continued for a time, particularly in the Middle East, Africa and Europe. These activities did not restore the former UK department-store chain, which remains defunct.
- 2018
BHS.com closes under Al Maya ownership
[1]The Al Maya Group closes the relaunched UK website before the brand is later licensed for a new online operation.
- 2016
Administration and UK closure
[1]BHS enters administration in April and closes its final UK stores in August.
- 2015
Retail Acquisitions buys BHS
[1]The retailer is sold for a nominal £1 after sustained losses.
- 2009
BHS integrated into Arcadia Group
[1]BHS becomes part of Green's Arcadia retail group.
- 2000
Philip Green acquires BHS
[1]Green buys BHS from Storehouse and takes the company private.
- 1986
Merger creates Storehouse plc
[1]BHS combines with Habitat and Mothercare to form Storehouse plc.
- 1984
Included in the inaugural FTSE 100
[1]BHS is among the companies included when the FTSE 100 index is launched.
- 1933
Company becomes publicly listed
[1]BHS becomes a public company during its early expansion.
- 1928
First BHS store opens in Brixton
[1]British Home Stores begins trading as a variety-store retailer in Brixton, London.
Products and positioning
Mass-market, value-oriented department-store retailer focused on clothing, homewares and household essentials.
Apparel · 1928
BHS clothing
The core apparel assortment consisted largely of value-oriented clothing for women, men and children. Clothing remained central to the chain's identity, although the retailer increasingly sought to balance fashion with homewares and other higher-margin categories.
Children's clothing
Tammy
Tammy was a girls' fashion label associated with Etam UK. After BHS acquired Etam UK in 2005, standalone Tammy stores were closed and the brand was integrated into BHS locations and later international franchise activity.
Home furnishings
BHS Home
BHS Home covered household goods, lighting, kitchen products, decorative merchandise, curtains, rugs, wall art and furniture. Larger stores were developed to support a broader home-focused proposition and carried selected external brands.
Consumer electronics and appliances
BHS electricals
The retailer sold small kitchen appliances such as kettles and toasters, later extending the range with brands including Breville, Russell Hobbs, De'Longhi and Vax. Its separate online operation also offered larger appliances, televisions, computers and tablets through a third-party provider.
Furniture
BHS furniture
Furniture was sold in larger home stores and through an independent furniture website. The assortment included sofas, beds and other household furnishings from brands such as Italsofa, G Plan, Relyon and Silentnight.
Controversies
2024
Claims against former directors
The High Court ordered former directors Lennart Hennington and Dominic Chandler to pay £18 million in relation to wrongful trading and breaches of corporate duties in proceedings brought on behalf of creditors.
2016
BHS collapse and pension controversy
The retailer's failure left thousands of jobs at risk and exposed a large pension deficit. A UK parliamentary report criticized the conduct of former owners and directors, describing the business as having been subjected to systematic extraction and identifying serious leadership failures.
Marketing campaigns
- 2015British Home Stores rejuvenation plan
United Kingdom
Following the sale to Retail Acquisitions, BHS announced a £60 million store-modernization and rebranding programme, including restoration of the full British Home Stores name and continued food-hall plans.
Outcome. The programme was overtaken by continuing losses, restructuring pressure and administration in 2016.
- 1995Millennium concept stores
United Kingdom
BHS introduced a redesigned store concept in Cambridge, using updated signage, warmer lighting and a more contemporary environment to refresh the chain's appeal.
Outcome. The concept was rolled out selectively, but did not reverse the chain's longer-term trading difficulties.
Brand decisions
2016
Company voluntary arrangement proposalStrategyBackground
BHS sought protection and restructuring while facing declining trade and pension liabilities.
Action taken
The company proposed a CVA and sought to restructure its obligations, including pension arrangements.
Aftermath
The proposal did not prevent administration on 25 April 2016 or the subsequent closure of the UK store estate.
Pension deficit disclosed in CVA application. £207 million (March 2016)
2016
Administration and liquidationOtherBackground
BHS could not secure a buyer for the chain as a going concern and faced substantial debts and pension liabilities.
Action taken
Duff & Phelps was appointed administrator; stores were progressively closed and the remaining insolvent business entered liquidation in December.
Aftermath
The final 22 UK stores closed on 28 August 2016, ending BHS's UK high-street operations.
Reported total debt at administration. Approximately £1.3 billion, including approximately £571 million in pension liabilities (April 2016)
2015
Sale to Retail AcquisitionsM&ABackground
BHS had sustained losses and its owner was considering a sale.
Action taken
Retail Acquisitions Ltd acquired the retailer for a nominal £1.
Aftermath
The new owners announced a modernization plan, but store closures, losses and pension obligations continued before administration the following year.
Acquisition price. £1 (12 March 2015)
2009
Integration into Arcadia GroupStrategyBackground
BHS remained within Philip Green's retail portfolio after the acquisition of Arcadia Group.
Action taken
Central support functions were merged and selected BHS stores introduced concessions from Arcadia brands such as Evans and Wallis.
Aftermath
The arrangement linked BHS more closely to the wider Arcadia portfolio but did not eliminate the chain's later financial difficulties.
2000
Take-private acquisition by Philip GreenM&ABackground
BHS was experiencing difficult trading within Storehouse plc and was acquired by Philip Green.
Action taken
Green purchased the retailer for £200 million and converted it from a public company into a private business.
Aftermath
BHS later became part of Arcadia Group, with shared functions and selected Arcadia concessions introduced into BHS stores.
Acquisition price. £200 million (May 2000)
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