Debenhams - seven stores will remain closed after lockdown - where that leaves Scarborough store

Debenhams has announced that seven of its stores will not reopen after lockdown.

Monday, 20th April 2020, 12:23 pm
Updated Monday, 20th April 2020, 4:26 pm
Scarborough store is in the Brunswick Shopping Centre

It is trying to secure new deals with landlords that include a five-month rent and service charge holiday.

The department store chain has agreed terms on 120 of its 142 stores so far and is in advanced discussions about the remainder of its estate. The business is in administration to protect it from creditors during the lockdown.

Arcadia's move buys the business flexibility amid huge uncertainty about the economic landscape ahead.

High street retailers are all trying to hoard cash and cuts costs and are worried about trading once restrictions are eased.

The seven stores to close are in:

Truro

Stratford-upon-Avon

Salisbury

Westfield, West London

Warrington

Leamington Spa

South Shields

Stefaan Vansteenkiste, chief executive officer of Debenhams, said: “I’m delighted with the progress we are making with our landlord discussions which reflects the pragmatic view the vast majority of them are taking of the current market conditions.

“We have agreed terms on the vast majority of our UK stores and talks are proceeding positively on the remainder, positioning us to reopen these stores when Government regulations permit.

“Regrettably we have been unable to reach agreement on seven stores and these will not be reopening, and I’d like to express my thanks to our colleagues in these stores at what I know is a difficult time for everyone.”

Last week, it said its Irish business – which runs 11 stores with around 1,400 staff – will cease trading as part of the administration.

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