Sir Philip Green plans to close 23 stores across the UK and Ireland as part of his major restructuring plan for Arcadia Group. Closures wil include Burton, Dorothy Perkins and Topshop stores.
Rents for a further 194 stores will be cut in order for the Company Voluntary Arrangement to be approved.
Sir Philip Green’s wife and ultimate owner of Arcadia will also inject a further £50m of equity into the business making a total of £100m that she has loaned the company.
Arcadia chief executive Ian Grabiner said: “Against a backdrop of challenging retail headwinds, changing consumer habits and ever-increasing online competition, we have seriously considered all possible strategic options to return the group to a stable financial platform.
“This has been a tough but necessary decision for the business.
“We will ensure all potentially affected colleagues are kept fully informed as we seek approval from our creditors on today’s CVA proposals.”