Victoria Beckham 'told to ditch her chauffeur' after fashion empire plunges £36m in debt

Victoria Beckham has reportedly been forced to make dramatic cuts after her eponymous fashion label plunged £36million in debt. 

The designer, 45, is said to have been told she can no longer employ a chauffeur to drive her to work and even offered to take a pay cut to help her struggling business. 

It comes after Victoria’s brand fell almost £36million into the red after making losses of £12.5 million last year.  

Feeling the pinch: Victoria Beckham has reportedly been forced to make dramatic cuts after her eponymous fashion label plunged £36million in debt (pictured in January)

Feeling the pinch: Victoria Beckham has reportedly been forced to make dramatic cuts after her eponymous fashion label plunged £36million in debt (pictured in January) 

A source told The Sun: ‘Things are going from bad to worse for poor Posh. 

‘The chauffeur has gone, she’s now driving herself or getting Addison Lees, and the designer plants are on the way out as their upkeep is too dear.

‘Victoria is gutted but she’s put everything into her fashion empire and won’t give up without a fight.’

MailOnline has contacted Victoria’s representatives for comment.  

Cuts: The designer, 45, is said to have been told she can no longer employ a chauffeur to drive her to work and even offered to take a pay cut to help her struggling business

Cuts: The designer, 45, is said to have been told she can no longer employ a chauffeur to drive her to work and even offered to take a pay cut to help her struggling business

According to the insider, Posh will now have to drive herself to work at her Hammersmith headquarters or to her store in Dover Street, Mayfair or get a taxi.  

She is also said to have agreed to stop purchasing expensive plants and plant pots for her headquarters. 

Last year losses at Victoria Beckham Limited rose dramatically to £12.5million after demand for the former Spice Girl’s range of £2,000 dresses and £1,000 handbags slumped.

Victoria’s high-end clothes are sold in stores around the world but struggling sales and high costs have seen losses grow in each of the past four years. 

And the Beckhams’ businesses made their first combined loss last year as they were dragged down by Victoria’s ailing fashion brand.

Tough: The Beckhams' businesses made their first combined loss last year as they were dragged down by Victoria's ailing fashion brand (pictured September)

Tough: The Beckhams’ businesses made their first combined loss last year as they were dragged down by Victoria’s ailing fashion brand (pictured September) 

Between them, the couple lost £1.5million after tax, a marked decline on their £31million profit of four years ago.

But despite the downturn, David and Victoria, pictured, still paid themselves more than £7million in dividends last year, meaning they have taken £51million out of the businesses in dividends since 2014. 

The mother-of-four’s fashion label has lost £34.7million since it launched ten years ago, and has been repeatedly bailed out by her husband.  

In previous years, the family still made a healthy profit thanks to David’s image rights but his business, DB Ventures, also suffered last year. Profits have fallen from £44million four years ago to less than £15million in 2018.

The latest figures, in accounts filed, are a blow to the duo, who have built up a reported £355million fortune.

The decline has led some to question whether the pulling power of two of the world’s most famous faces is waning.

One industry expert said: ‘His image rights are declining. He’s 44 now so that cash cow is beginning to drain a little bit.

‘And I’d be surprised if her fashion business can ever turn a profit. It might be a lifestyle business for the Beckhams, but her investors are notoriously hard-nosed. They’ll want to see a return.’ 

But it’s not all woe: the couple were ranked 372 on this year’s Sunday Times Rich List, with a combined wealth of some £355 million and were named among Britain’s 50 biggest taxpayers in The Sunday Times Tax List.

The songstress has forged a fruitful stint in the spotlight for over two decades, and as she’s dominated both the music and fashion industries, Victoria has insisted ‘owning who I am’ has played a key role in maintaining her successful career.  

Festive spirit: Victoria has taken her mind off business by spending Christmas with her family (pictured with daughter Harper, eight, in matching gold pyjamas

Festive spirit: Victoria has taken her mind off business by spending Christmas with her family (pictured with daughter Harper, eight, in matching gold pyjamas

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