House of Fraser's plans to shut 31 stores approved by creditors

6,000 jobs will now be axed as the department store chain escaped administration.
Publish date:
house of fraser

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.


Featured Jobs

Copyrights Group

Marketing Manager

The Copyrights Group is one of the licensing arms within The Vivendi Group. Acquired by Vivendi in 2016 Copyrights manages the licensing for a portfolio of properties to include Paddington Bear. Some of the other companies within the Vivendi Group include Universal Music Group, and their licensing arm Bravado, Gameloft and Studiocanal to name a few.