Retailers under pressure as the online revolution causes profit warnings to double to seven-year high | City A.M. July 22, 2018 The number of FTSE-listed companies issuing profit warnings rose by 13 to 58 in the second quarter, an increase of 29 per cent compared to the same period last year, according to an EY report published today. The rise was led by the retail sector of the FTSE index, where profit warnings for the first [...]
Demand for London retail space slumps as high street woes deepen | City A.M. July 19, 2018 Demand for retail space in London has dived as woes around high street closures grow, according to a highly-regarded survey out today. Roughly 68 per cent more chartered surveyors in London’s retail sector noted a quarterly fall, rather than a rise, in demand for space in the capital, reaching levels not seen since 2008. The [...]
MPs call for banks to pay for new tribunal system to settle disputes for small businesses | City A.M. July 12, 2018 A cross-party group of MPs has called for a new tribunal system for small firms to challenge big banks after a string of scandals of companies being driven to the wall by lenders. A new Financial Services Tribunal should be established to help resolve disputes between small firms and banks, a report published today by [...]
House of Fraser landlords, lawyers and property advisers slam ‘disappointing’ CVA vote June 22, 2018 Landlords have been left disappointed after House of Fraser's CVA was passed today, with some even considering legal action. Creditors threw a lifeline to the department store chain by approving rescue plans that will result in half of the retailer's sites being closed. Possible legal challenge Two advisers to a group of the affected landlords [...]
PwC faces record-breaking £10m fine over poor BHS audit June 12, 2018 Big Four accountancy giant PwC has been slapped with a record £10m fine from the Financial Reporting Council (FRC) for its work auditing retailer BHS prior to its sale for £1. The PwC partner who conducted the audit, Steve Denison, is also facing a personal fine of £500,000 from the FRC relating to his work [...]
PwC faces record-breaking £10m fine over poor BHS audit June 12, 2018 Big Four accountancy giant PwC has been slapped with a record £10m fine from the Financial Reporting Council (FRC) for its work auditing high street retailer BHS, prior to the chain's sale for just £1. The PwC partner who conducted the audit, Steve Denison, is also facing a personal fine of £500,000 from the FRC relating [...]
What is a CVA? Insolvency process used by House of Fraser, Carluccio’s, Mothercare and more June 7, 2018 What is a CVA? A company voluntary arrangement (CVA) is a type of insolvency process used to pay creditors over a fixed period. It means a company may not have to pay back all of its debts. Unlike going into administration, the company does not fall into the hands of a third party. Instead, an [...]
House of Fraser confirms plans to close more than half of its stores June 7, 2018 House of Fraser is to close 31 of its 59 stores in a plan to dramatically restructure the chain, in a move its chief executive described as "grim". If approved by creditors, the move will result in the loss of 6,000 jobs: 2,000 House of Fraser employees and 4,000 brand concession staff. The full list of [...]
Italy’s populists prepare to wage war over the ECB’s budget rules May 24, 2018 The old quip that the EU can only deal with one crisis at a time is about to be tested. The coalition in Italy between the Five Star Movement and the Northern League has not been formally finalised, but looks likely to go ahead (well, as likely as anything can be in Italian politics). Italians [...]
Next demands rent cuts on par with its struggling neighbours May 21, 2018 Next is taking a stand against a wave of rent cuts handed out to its high street peers by demanding equal treatment from landlords. Following a series of company voluntary arrangements (CVAs) in the retail and restaurant sectors, Next is asking landlords to agree to rent reductions on its stores if a neighbour receives a [...]