SPECULATION is growing that Debenhams, which provides the ‘anchor’ store at the Kingfisher Shopping Centre, is on the brink of going into administration.
The Redditch store is one of 142 Debenhams stores across the country which are closed due to the coronavirus crisis, with the firm putting most of its staff on the government’s furlough scheme.
Putting the company into administration would protect it from creditors and give the owners time to restructure the chain.
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 retailer went into administration in April 2019, from which it was taken over by its lenders.
Following this 22 stores were closed and there were plans for more closures in 2021.
However the company is still trading online and a variety of rescue packages are believed to be under consideration which would see the chain survive once the coronavirus pandemic has passed and stores can re-open.
