Creditors have backed the department store chain House of Fraser’s plans to close more than half of its stores.
The retailer will now go ahead with the approved CVA action to shut 31 of its 59 shops nationwide and impose huge rent cuts on ten others that it intends to keep.
High Street landlords have said they are unhappy with the plan as they will have to shoulder the burden of financial losses, but they were outvoted.
Up to 6,000 jobs will now be axed as a result of the House of Fraser store closures, while the retail chain has escaped administration for now.
House of Fraser is using a company voluntary arrangement, a form of insolvency proceedings, to overhaul its business. CVAs are being increasingly used by struggling retailers as a way to close stores.