House of Fraser to Close half of its Stores including London Oxford Street, affecting 6,000 jobs

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The struggling high street stalwart will close 31 out of its 59 stores putting thousands of jobs at risk.

The move comes as the retailer’s Chinese owner finalises a restructuring proposal after years of falling sales. As well as the closures, it will also ask for rent reductions on a further 10 outlets and relocate its head offices in England and Scotland.

House of Fraser, which has 6,000 employees and 11,500 concession staff, requires the approval of 75% of its creditors for its plan to go ahead.

Jobs will be cut significantly, with closures set to affect up to 2,000 staff and a further 4,000 concession workers.

Among those set to shut are two in London, plus Birmingham and Cardiff. The plans are set to be implemented next year.

Restaurant businesses have also been seeking to cut their costs with store closure programmes, with Carluccio’s, Prezzo, Byron and Prezzo all pushing through CVAs this year.

The retail giant began with a single drapery shop, opened in Glasgow by Hugh Fraser and James Arthur in 1849.

It grew steadily, becoming House of Fraser in 1941, then took hold as a national chain after the Second World War.

Over the years, the business has acquired numerous companies, including Harrods, which is now privately owned.

House of Fraser has been owned by Egyptian-born billionaire Mohamed Al-Fayed and before that by the Fraser family, from which it takes its name.

It was bought by Chinese conglomerate Sanpower Group for £480 million in 2014.

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