Timeline: A blow-by-blow account of how BHS’ demise unfolded June 2, 2016 One of the biggest names on the UK's high street could be about to disappear, after its administrators began the process of winding it down. The news comes after a tumultuous few months for the retailer, which announced in April that it was entering administration – just over a year after it was sold for £1 by Arcadia [...]
From Sir Philip Green to Frank Field, these are the most important reactions to BHS’ wind-down June 2, 2016 It's the end of an era: after weeks of uncertainty, today BHS' administrators finally announced they were calling time on the sale of BHS – without a buyer. That could mean the disappearance of one of the high street's biggest names, with all 163 stores closing. Not surprisingly, given the size of the collapse – some [...]
Pre-pack deals being referred for review much higher in value than initially expected June 2, 2016 The value of pre-pack deals being referred for initial assessment is much higher than initially anticipated. Data shared with City A.M. by the Pre-Pack Pool, which was established in May 2015 to review and greenlight pre-pack administration proposals, shows that the average value of deals referred to it so far is around to £4.2m. By comparison, the [...]
Why holding the doors open for struggling businesses can also be best for creditors June 1, 2016 The UK insolvency regime plays a crucial role in our economy, and is one of the most effective in the world. It gives lenders and businesses the confidence to lend and trade, safe in the knowledge that, should things go wrong, debts will be settled in a fair and speedy manner. According to the World [...]
2016 set to be year of retail failures as number of shoppers on Britain’s high streets in “terminal decline” June 1, 2016 The number of consumers on Britain’s high streets is in “terminal decline” as shopping habits change fundamentally, raising the prospect of more retail failures this year. Speaking to City A.M. after the demise of suits-specialist Austin Reed was confirmed yesterday, Diane Wehrle from top retail analyst Springboard said: “We’re no longer going to see increases in footfall [...]
Austin Reed employees could have their pensions bailed out May 31, 2016 Embattled retailer Austin Reed's final pension scheme could be bailed out by the Pension Protection Fund (PPF). The news comes as all 120 Austin Reed stores are set to close by the end of June leading to 1,000 job losses after administrators AlixPartners did not receive any viable offers for the 116-year-old menswear retailer. According to ITV, 300 members will receive reduced [...]
Alistair Darling and Michael Howard clash over Brexit campaign at CBI dinner May 18, 2016 Two grandees of the Leave and Remain campaigns dramatically crossed swords last night, when a former chancellor and former home secretary clashed over the ramifications of the referendum vote at the CBI's annual dinner. The glitzy black tie event, hosted at Grosvenor House on Park Lane, saw Labour peer Alistair Darling and Tory peer Michael Howard [...]
Pensions lifeboat must not be abused May 10, 2016 The Pension Protection Fund (PPF) had noble beginnings. Also known as the pensions lifeboat, it was designed as safety net of last resort for employees with defined benefit pensions whose companies become insolvent. There are over 800 schemes in the PPF which has secured the retirement savings of 250,000 people since its launch around a [...]
MPs kick off probe into BHS fiasco May 8, 2016 MPs will turn up the heat on Monday on past and present owners of BHS, including Sir Philip Green, when they begin in-depth inquiries into the collapse of the high street retailer. The initial focus of the investigations by two powerful select committees will be on the firm's worrying pensions situation. The defined benefit pension at [...]
Business secretary Sajid Javid orders investigation into BHS collapse May 3, 2016 Business secretary Sajid Javid has ordered a government investigation into the collapse of high street retailer BHS and the conduct of the directors involved. BHS entered administration in April after running out of cash. Speaking in the House of Commons, Javid confirmed that he has written to the chief executive of the Insolvency Service, Sarah Albon, instructing her to [...]