CTR Group Acquires Hirestreet to Scale Rental Fashion

A Major Move in Circular Fashion

CTR Group, a UK circular economy and reverse logistics specialist, has acquired fashion rental platform Hirestreet. The deal brings rental and resale operations under one roof, signalling a push to scale subscription fashion rental across the UK. For CTR, it builds on its March 2025 acquisition of resale platform Thrift+, expanding its direct-to-consumer circular offerings.

The acquisition gives Hirestreet access to CTR’s substantial operational infrastructure, which processes over 1,500 tonnes of stock weekly across 560,000 square feet of UK and European sites. This network is designed to handle the logistics of moving goods through rental, resale, and eventual recycling or donation, ensuring maximum value recovery.

Hirestreet’s Subscription Success

Hirestreet launched its subscription rental service with Asos in 2024. Within less than two years, subscription has grown to account for more than 50 percent of the company’s revenue. Through the platform, subscribers rent five items a month for £75, allowing them to regularly refresh their wardrobes without the commitment of ownership. This model appeals to consumers seeking variety and sustainability, avoiding the environmental cost of fast fashion.

Infrastructure to Support Growth

CTR has established a dedicated Hirestreet facility within its existing network, with teams handling repairs, cleaning, and steaming. This infrastructure is intended to give Hirestreet greater control over the processing and return of garments as the subscription business expands. By integrating these operations, CTR aims to improve efficiency and maintain high garment quality, which is crucial for customer satisfaction in rental services.

The acquisition also connects Hirestreet’s rental operation with CTR’s resale platform Thrift+. Garments can move from rental into resale before being sent to traditional end-of-life channels, extending their use and recovery value. This circular approach ensures that clothing stays in use for as long as possible, aligning with sustainability goals.

Leadership Perspectives

Mark FitzGerald, CEO of CTR Group, commented: “Hirestreet is one of the strongest consumer brands in the circular economy, and it builds directly on what we started with Thrift+. Our strategy is to bring the leading D2C circular businesses together and give retailers a way to recover more value from their stock, first through rental and resale, and only then through traditional channels.”

Isabella West, founder of Hirestreet, added that the company needed to scale its operations and customer care alongside growing subscription demand. She said: “When I started Hirestreet, it was because buying a dress to wear once didn’t make sense to me. Eight years on, our subscription service lets customers enjoy clothes that make them feel good, without the guilt of overspending or the commitment of ownership. CTR has given us the tools and infrastructure we need to properly scale. It’s a really exciting time for the business.”

Implications for the Fashion Industry

This acquisition reflects a broader trend in the fashion industry towards circular models. By combining rental and resale, CTR is positioning itself to offer a comprehensive solution for retailers looking to extend the life of their products. The integrated approach allows for a seamless flow of garments from rental to resale, capturing value at multiple stages and reducing waste.

For consumers, this means more options to access fashion sustainably. The subscription model provides affordability and variety, while resale offers a way to purchase pre-owned items. As the fashion industry faces increasing pressure to reduce its environmental impact, such initiatives could become more common. CTR’s infrastructure and expertise in reverse logistics are key enablers, ensuring that garments are properly processed and redirected efficiently.

With the UK aiming for a more circular economy, this move could set a precedent for other logistics companies and fashion brands. It demonstrates how operational scale combined with consumer-facing platforms can drive sustainability. As Hirestreet scales nationally, the partnership with CTR is likely to strengthen its market position and contribute to the growth of circular fashion in the UK and beyond.