Staff at Debenhams informed chain to be wound down
Loss of a major brand at the Castle Quay Shopping Centre after announcement
Banbury looks set to lose the Debenhams name from the Castle Quay Shopping Centre after the failure of last-ditch efforts to rescue the Debenhams chain. Stores across the country, including the one in Banbury, now look set to close.
Across the country 12,000 employees are likely to lose their jobs when the chain’s 124 shops cease trading. It is understood staff were told the news on Tuesday morning.
Debenhams had been in administration since April. In a brief statement to the London Stock Exchange, the company said: “JD Sports Fashion, the leading retailer of sports, fashion and outdoor brands, confirms that discussions with the administrators of Debenhams regarding a potential acquisition of the UK business have now been terminated.”
Debenhams has already cut 6,500 jobs across its operation due to heavy cost-cutting after it entered administration for the second time in 12 months.
It is understood that the collapse of the deal is partly linked to the administration of Arcadia, which is the biggest operator of concessions in Debenhams stores
For now Debenhams outlets will continue to accept the firm’s store cards and process returns as normal.
Oliver Wren, Centre Director at Castle Quay Shopping Centre, said: “We are saddened to hear the news that Debenhams UK is starting to wind down. We will be working closely with their management teams over the coming weeks and months regarding their store in Castle Quay, and will share further updates when we are in a position to do so.
“This national news is part of the wider challenging picture for town centres throughout the country. We continue to plan a vibrant and resilient future for the town centre, with Castle Quay Waterfront and Lock29 central to those plans.”
Published: by Banbury FM Newsteam