Hobbycraft has completed its company voluntary arrangement (CVA) ahead of schedule as growth in model making and crochet helped fuel a rise in online shoppers.
The arts and crafts retailer has emerged from the 13-month restructuring programme launched in May 2025, which it said had placed the business on stronger foundations for future growth.
Hobbycraft reported a 13 per cent increase in active online users during the period, alongside a 10 per cent rise in new website users compared with the previous year.
Model making delivered some of the strongest gains, with online sales of characters and figures soaring 343 per cent. Model paints and varnishes climbed 43 per cent, while sales of model-making tools increased 26 per cent.
Demand for crochet kits jumped 141 per cent, supported by the retailer’s Made With Love collaboration with Olympic diver and knitting enthusiast Tom Daley.
The collection, which launched in October 2025, also drove a 42 per cent increase in searches for crochet kits, according to the retailer.
Hobbycraft closed nine underperforming stores during the CVA but opened three branches within garden centres in Towcester, Frankton and Grantham. It said every shop in its remaining estate had delivered a positive profit over the past 12 months.
The original restructuring proposals put up to 126 roles at risk across stores, its Bournemouth head office and Burton-on-Trent distribution centre, while aiming to protect around 1,800 jobs.
Hobbycraft chief operating officer Graeme Campbell said: “Completing our CVA ahead of schedule is an important milestone for Hobbycraft.”
He added that the retailer was focused on growth and helping more customers discover the wellbeing benefits of making and crafting.
The business plans to expand its hobby category and Model World proposition, while continuing to invest in workshops, online tutorials and in-store craft expertise.
Hobbycraft was acquired by Modella Capital from Bridgepoint for an undisclosed sum in August 2024.
The turnaround comes after Modella was reported to be considering a potential sale of the retailer earlier this year following an approach from an unidentified buyer.
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