'Debenhams closing will be a big blow for Colchester'

Online fashion retailer Boohoo has bought the Debenhams brand for £55 million, however, it it not set to take on its stores or workforce.

This means the historic brand's remaining 118 stores will close for good as part of a structured winding down of the business.

Across the UK as many as 12,000 staff are set to lose their jobs due to the move.

Colchester's Debenhams store, in Culver Street West in Culver Square Shopping Centre, is one of the largest stores in the town centre.

Sam Good, manager of Our Colchester Business Improvement District, said its closure was very sad news for the town centre.

"It is a big blow for the town but it is something we have know was coming for a while which has allowed the town to start putting plans together to cope with it," he said.

"The biggest hit will be for the staff who lose their jobs. We will do all we can to support them and offer advice on new employment.

"We will encourage those who lose their jobs into new roles in the town centre if possible as some of the staff will have significant expertise.

"Colchester is more than one store and this is now about how we react as a collective. I am confident we can get through this."

He added: "Don't get me wrong we are very sad to see them go but it is now about how we press forward."

Historic - Debenhams has been a fixture in Colchester town centre for decades (Image: NQ)

In a poll on the Gazette website, 70 per cent of readers said they would miss Debenhams when it leaves the town centre.

Read more:

• Why Debenhams is closing and what the future is for high streets
• Colchester Debenhams set to close as Boohoo buys website
• POLL: Will you miss Debenhams from Essex's high streets?

The firm was put up for sale again in June last year, and had already permanently closed six of its shops.

Geoff Rowley, joint administrator for Debenhams and partner of FRP Advisory, said: “We are pleased to have secured the future for this great brand, and to have created the opportunity for a new Debenhams-branded business to emerge in a different shape beyond the pandemic.

“I expect that the agreement with Boohoo may provide some job opportunities but we regret that this outcome does not safeguard the jobs of Debenhams’ employees beyond the winding-down period.”

Boohoo plans to "rebuild and relaunch" Debenhams online from 2022, with its fashion brands absorbed into the online giant's portfolio.

Chief executive John Lyttle said: “The acquisition of the Debenhams brand is an important development for the group, as we seek to capture incremental growth opportunities arising from the accelerating shift to online retail.”