DEBENHAMS NEW BLOW

Shares in struggling Debenhams tumbled to a new low yesterday after a setback to its suppliers.

Leading credit insurer Atradius, which protects suppliers against the risk of firms going bust, withdrew its cover for those selling to the store.

The move will pile pressure on Debenhams if it wants to continue getting stock from those firms.

The move saw its share price slump nearly 5% to just over 9p, down from 50p a year ago and £1.11 in 2013.

Debenhams, which last week unveiled a new-look store, said: “Credit insurers typically tighten cover when the retail industry is under pressure, and this is an issue affecting many retailers.”