Struggling department store Debenhams is on the brink of collapse.
Bosses have confirmed that the chain has filed a notice of intent to appoint administrators today.
The move will put 22,000 jobs at risk.
According to the Evening Standard, the 242-year-old department store group has appointed Geoff Rowley and Alastair Massey of FRP Advisory to advise on a “light touch” administration of the company.
Department store chain Debenhams is on the brink of collapse after bosses confirmed it has filed a notice of intent to appoint administrators affecting around 22,000 workers
— Sky News Breaking (@SkyNewsBreak) April 6, 2020
Putting the company into administration would protect it from creditors and give the owners time to restructure the chain. But there are doubts for its future.
Debenhams has struggled to keep pace with the changing face of fashion, has debt problems, rising costs and could face legal action from suppliers who haven’t been paid.
The company is still trading online and a variety of rescue packages are believed to be under consideration – but whether it will survive the coronavirus pandemic is the question on many people's lips.
This is a breaking news story. More to follow.