Green braced for rent bill

TOPSHOP tycoon Sir Philip Green is racing to do a deal with landlords before a multi-million-pound rent bill in June.

Green is thought to be eyeing a company voluntary agreement which would cut costs at his 2,500 stores to avoid mass closures.

Analysts said the talks will have added urgency because a huge quarterly rental payment falls due next month.

Green is also battling a £300m pension black hole at his retail empire’s parent firm Arcadia Group, according to the latest figures. Retail analyst Teresa Wickham said: ‘He’s trying to negotiate to close some stores and pay less rent. But landlords are playing hardball.’

Wickham told BBC Radio 5 Live that Green might even seek to sell Arcadia, whose brands include Topshop, Topman, Burton and Dorothy Perkins among others. Green and other Arcadia bosses met last week to discuss restructuring plans, with the business likely to be sold off if talks fail.

The tycoon is understood to have drafted in advisers from Deloitte to help him.

Retailers are battling against a High Street slowdown which saw more than 50,000 shopping jobs lost last year alone, as consumers head to online giants such as Amazon instead.

Casualties of the slump include Debenhams and House of Fraser, which have both been rescued from administration.

Even stalwarts such as John Lewis and Marks and Spencer have seen profits hit.

John Lewis this year slashed its annual bonus to just 3pc of staff’s fixed pay, its lowest level since 1953.