A global sleep technology brand has entered administration in the UK, owing creditors almost £20m, largely from inter-company debts. The company, which employed 40 staff at its Lakeside Retail Park, Thurrock site, faced rising operational costs and underperformance in the UK market.
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Management accounts of Sleep8 for May 2025 showed pre-tax losses of £10.6m on turnover of £2.1m, down from £3.4m in 2024. The parent company previously injected funds to support UK operations, but by Q3 2025, it opted to exit the market to focus on Spain and wider B2B European expansion.
Upon entering administration, trading continued briefly to complete outstanding orders and sell remaining stock. All stores, except Thurrock, closed immediately, with redundancies affecting 20 staff. Trading at Thurrock ceased on 29 August 2025, and the premises was vacated.
Preferential employee claims of £45,000 and HMRC debt of £107,000 are expected to be repaid from realised assets valued at £301,000. Unsecured creditors, including inter-company debts of £11.7m, face a combined shortfall of £16.9m. Sleep8 thanked UK customers and staff, citing a strategic focus on profitable growth markets elsewhere in Europe.
Source: www.bigfurnituregroup.com
