Frasers Group pledges to pay Harvey Nichols stylists after rescue deal

Frasers Group has committed to paying self-employed personal shoppers and stylists at Harvey Nichols in full following its £40 million rescue acquisition of the luxury department store chain. The company stated that most affected individuals should receive their payments within 72 hours, despite having no formal obligation to do so under the administration process.

The takeover follows Harvey Nichols' recent insolvency. While UK stores remain operational, the retailer's website has shut down, and it has indicated it will not directly refund orders or gift cards purchased prior to the August 13 takeover. In Ireland, the retailer's website has closed following the appointment of liquidators, and while the Dublin store has reopened with Frasers' support, 33 jobs remain at risk.

Concerns persist among suppliers regarding unpaid debts, drawing comparisons to Frasers Group's previous acquisition of Matchesfashion, which entered administration shortly after being purchased. Frasers Group has indicated it aims to streamline the business, suggesting that some unprofitable stores may face closure in the coming months.