Debenhams set to falls just hours after Topshop owners goes into administration

Debenhams is to be wound down after JD Sports pulled out of talks on a rescue takeover, placing 12,000 jobs at risk in a horror week for UK retail.

The decision was taken after a sale process, initiated by administrators when the troubled 242-year old department store collapsed in April, was officially concluded.

It comes after 13,000 roles were placed at risk through the collapse of Sir Philip Green’s Topshop empire.

Debenhams says it will continue to trade, for now, to clear stock as administrators seek a buyer for all or parts of the UK business.

Its statement read: “The sale process has not resulted in a deliverable proposal.

“Given the current trading environment and the likely prolonged effects of the COVID-19 pandemic, the outlook for a restructured operation is highly uncertain.

“The administrators have therefore regretfully concluded that they should commence a wind-down of Debenhams UK, whilst continuing to seek offers for all or parts of the business.”