House of Fraser needs £50m to avoid administration

C.banner, the Hong Kong-listed owner of Hamleys, was unable to raise the £150m it needed to invest in House of Fraser due to a dive in its share prices.

It is estimated 160 jobs could be lost as a result of the closure">It follows an announcement earlier this year that Chichester’s House of Fraser will close in early 2019.

The axing of 31 stores nationwide was an attempt to In its announcement, the chain said the move is a matter of survival">stablise the department store’s finances to ‘survive’ but the impending departure of the chain from Chichester’s West Street was met with sadness.

Usdaw has urged House of Fraser management, which now needs £50m to avoid administration, to engage with the union representing some of its employees.

Dave Gill, Usdaw National Officer, says: “This news will decimate the hopes of thousands of staff who have been facing an uncertain future ever since the company announced it would close 31 of its 59 stores earlier in the year.

“House of Fraser is an iconic brand and it will be devastating for everyone involved if it goes in to administration.

“Although House of Fraser does not recognise Usdaw, I am urging the company to engage in talks with us so that we can work together to save jobs.

“In the meantime, Usdaw is providing the support and advice our members require at this very difficult time and we are urging the company to ensure all staff are treated with dignity and are fully consulted.”

See more about the House of Fraser closure in Chichester here:

The owner of Chichester’s House of Fraser has promised it will not stay empty

In its announcement, the chain said the move is a matter of survival

Primark has refused to comment on the site

The freehold on the House of Fraser site was sold for £13.4million last year