It has been reported that Debenhams is on the brink of administration for the second time.
Sofie Willmott, lead analyst at GlobalData, a leading data and analytics company, offers her view on this news: “Placing Debenhams into administration for the second time within twelve months will tide it over for now, freeing it from debts but ultimately its owners are merely stringing out its demise and its long-term future remains bleak. With significant further investment in the business now very unlikely, it is difficult to see what will attract shoppers back once its stores can reopen.”
“The department store chain was in already trouble before the COVID-19 pandemic hit and the sharp shift in consumer shopping habits will only speed up inevitable changes in the UK market. Weaker retailers without a unique selling point will be weeded out, with many unable to survive the year.”