Could House of Fraser be the next big retailer to close stores?
PUBLISHED: 14:03 19 April 2018 | UPDATED: 10:43 20 April 2018
ARCHANT NORFOLK PHOTOGRAPHIC Â© 2005
House of Fraser could be the next major retailer to run into trouble after reports emerged it has called in advisers to accelerate a restructure.
The company, which has a store in Norwich’s Chapelfield shopping centre, has called in experts from finance giant KPMG.
The department store firm asked landlords to slash rent bills in January but now could go a step further and pursue a company voluntary arrangement (CVA). Such a process can see a company offset debts by closing stores and slashing rents.
A House of Fraser spokesman said: “House of Fraser can confirm that we have appointed KPMG and are working closely with them to look at options that best support our transformation programme.”
The news comes after rival Debenhams revealed profits had fallen by 85% after bad weather and discounting took their toll.
Several retailers have resorted to CVAs in recent months with fashion stores New Look and Select as well as restaurants Prezzo and Jamie’s Italian among them.