A Claire's store in North Staffordshire is set to shut despite a rescue deal saving the company from administration.

The jewellery and accessories business filed a notice of intention to appoint administrators in August and since then 156 of its 306 stores in the UK and Ireland have been sold to Modella Capital.

However that does mean 145 Claire's branches, including the store on Castle Walk in Newcastle-under-Lyme are set to close. Notices are now in the window stating "everything must go" with an up to 20% off clearance sale now underway.

Will Wright, Interpath's UK CEO and joint administrator said: "We'd like to express our sincere thanks to the thousands of Claire's dedicated employees, as well as suppliers and other key stakeholders, who have supported us throughout the administration process.

"Our intention is to continue to trade the remaining portfolio of stores for as long as we can, while we explore the options available."

Claire's has more than 280 stores across the UK, but the business incurred losses of around £25million over the last few years prompting it to file for administration.

The stores at the Potteries Centre in Hanley and Affinity Staffordshire in Talke are not included in the current wave of closures and will remain open.

Joe Price, managing director at Modella Capital, said: "As a firm, we strongly believe that this much-loved brand deserves the chance to remain on the High Street in the UK and Ireland.

"The issues that Claire's is facing are significant, and we will need to work collaboratively with all interested parties if our proposed rescue plan is to succeed."