Fresh blow to Green as his Topshop brands lose £505million

PHILIP Green’s Topshop and Topman chains have lost more than half a billion pounds after sales plunged.

The fashion brands, a flagship part of Sir Philip’s Arcadia empire, posted a £505million loss for the year to September 2018 compared with a £3.9million loss in the previous 12 months, latest figures reveal.

Sales fell 9 per cent to £847million. Experts said Arcadia’s situation is likely to have worsened since the period covered by the accounts.

Arcadia’s brands, which also include Dorothy Perkins, have fallen out of favour with young shoppers, who are opting for cheaper alternatives such as online-only retailer Boohoo.

The group has more than 550 stores and around 18,000 staff. It is now being forced to shut at least 50 stores and is pulling out of the US following a failed attempt to crack the American market. The latest figures are a further blow for Sir Philip, 7, Loss: Sir Philip and wife Tina after Arcadia accounts last week revealed the group as a whole lost £93million in the year to September 2018.

Taveta Investments – which is Arcadia’s ultimate owner and controlled by Sir Philip’s wife Tina, 70 – racked up £177million losses in the same period.

Sir Philip lost his prized billionaire status after his retail empire was rendered ‘worthless’ by the crisis on the high street, according to the Sunday Times rich list. He is facing assault charges in the US, where he has been accused of spanking his former pilates teacher. He denies the claims.

MP Frank Field, chairman of the Work and Pensions Committee, has written to the Pensions Regulator raising concerns over plans for Arcadia’s retirement scheme.

The Greens agreed earlier this year to plug a hole in Arcadia’s pension pot with £100million of their own money and £210million which was secured on Arcadia property.

However, Mr Field fears the firm’s financial woes will mean Sir Philip is unable to fund the scheme as planned.Arcadia declined to comment.