City New Look store among 60 set to close

A NEW Look store in Glasgow is set to shut as the embattled fashion retailer looks to axe 60 stores across the country.

The men’s store at the top of Buchanan Street has been confirmed as one of the shops to go, leaving another unit empty on the once-thriving Style Mile alongside the former HMV shop.

The Newton Mearns and Troon stores are also set to go, along with Aberdeen Bon Accord, Dundee Wellgate, Ocean Terminal and Cameron Toll.

Up to 980 jobs are being axed under the plans, which also involve slashing rent on nearly 400 shops as part of a rescue deal, the company said.

The fashion retailer cited high rental costs and challenged trading amid a “difficult retail environment” as it announced the Company Voluntary Arrangement (CVA).

A CVA allows a company to exit unprofitable branches and secure rent reductions on the remaining estate.

Under the proposal, New Look has identified 60 out of its total 593 UK stores for potential closure.

It will also includes a reduction in rental costs and revised lease terms across 393 stores.

New Look said it would attempt to redeploy those at risk of redundancy in other parts of the business.

Alistair McGeorge, executive chairman of New Look, said: “Given our challenged trading performance and over-rented UK store estate, we are having to take tough but necessary actions to reduce our fixed cost base and restore long-term profitability.

“We have held constructive discussions with our key landlords and strategic partners”.