Fashion chain's £50,000 debt written off

The hall, which is used by Norwich City Council, is another one of the Norwich 12

City Hall councillors have written off a firm's debts after it went bust - Credit: Abigail Nicholsom

A Norfolk council has been forced to write off a fashion chain's debts worth more than £50,000. 

Norwich City Council agreed to write off the business rate debts of Genus UK Ltd, the owners of the Select clothing stores after the company entered a corporate voluntary arrangement (CVA). 

CVAs let a company in financial difficulty organise a voluntary arrangement to repay all or part of its debt over a fixed period of time. 

A report to the council's cabinet said the write-off was worth £53,735.56, with the company having paid off just £839.83 of its debts. 

Across the UK the company owed almost £10m. 

At a meeting of Norwich City Council’s cabinet, Paul Kendrick asked his colleagues to approve the write-off. 

He said: “This authority does its best to collect business rates - obviously it’s important for the funding of local government. 

Most Read

“There does come a point where some you can’t collect.” 

Council leader Alan Waters added the council “never forgets” a debt and they have successfully managed to claim them back after a write-off in the past. 

Become a Supporter

This newspaper has been a central part of community life for many years. Our industry faces testing times, which is why we're asking for your support. Every contribution will help us continue to produce local journalism that makes a measurable difference to our community.

Become a Supporter