I had a hebe in the ground which was beautiful for many years, but suddenly started to die back. I tried cutting out the brown and dying bits to begin with, but the dieback continued to spread (which I have since learned is common), so that in the end it had to come out. It took quite some time to get all the roots out as it was well established, but in the end, with help, I succeeded.
Although I was sad to lose it, the space it left was quite substantial which has since been planted with a variety of smaller plants and flowers that look really lovely - so there was something good to come out of my initial disappointment in the end.
Certainly try by just cutting it back - yours might revive, but my own experience was that it gradually worsened.