Debenhams axes Oxford Street flagship and 320 jobs with latest closures

The embattled department store chain, which is in the midst of a winding down and stock liquidation process after falling into administration last year, said the prime London store would not reopen after it failed to agree to new lease terms.

Central teams that are usually based in offices above the Oxford Street store will continue to work remotely, the retailer said.

Debenhams’ shops in Portsmouth, Staines, Harrogate, Weymouth and Worcester will also be shuttered in the latest tranche of closures. 

The retailer said that current trading restrictions in place for non-essential retailers had hindered its lease negotiations, given the likelihood that measures would remain in place until at least March.

Debenhams’ administrator FRP Advisory remains in discussions with “a number” of interested parties as it seeks to sell all or part of the business. Administrators will, however, continue the process of winding down the business while those talks continue.

FRP plans to “reopen as many stores as possible” after lockdown measures ease to complete the stock liquidation. 

Geoff Rowley, joint administrator to Debenhams and partner at FRP, said: “We continue to engage with interested parties over alternative proposals for the future of Debenhams but inevitably the latest lockdown has had an effect on our plans for the wind-down of the business. 

“We regret the impact on those colleagues affected by today’s announcement and would like to thank all those who continue to keep the business trading in very difficult circumstances.”