'The best birthday present for Telford': Delight at reprieve for House of Fraser store
It was less than three months ago when it was announced both of the county’s iconic House of Fraser stores were to be axed, resulting in the loss of more than 200 jobs.
The news was met by shock and disappointment by business leaders and shoppers who raised fears of the impacts the closures in Shrewsbury and Telford would have on the county’s economy.
But now the store in Telford’s town centre has been thrown a lifeline after House of Fraser’s new owner, Mike Ashley’s Sports Direct, announced it would remain open.
The future of the Shrewsbury store, however, remains in the balance and it faces a nervous wait to find out if it is one of the 80 per cent of stores Mr Ashley plans to keep open.
The same can be said of Wolverhampton’s historic and much-loved Beatties store.
Birthday present for Telford
News of the saving of the Telford store, which is situated in the town’s main shopping centre, was today been welcomed by council and business leaders.
Mayor of Telford & Wrekin, Councillor Raj Mehta, said: “This is brilliant news for Telford and Wrekin. The residents deserve it.
“It is the best birthday present for Telford in its golden anniversary year. It has made my day and put a smile on my face.
“Well done to the shopping centre team. This is the best news for the staff at House of Fraser.”
Telford & Wrekin Council leader Shaun Davies tweeted: “Good news – well done to management of Telford Shopping Centre for securing the deal so quickly!”
Glynn Morrow, manager of Telford Shopping Centre, said: “We are delighted to have agreed a deal with Sports Direct the new owners of House of Fraser with this follows on from the deal agreed on the London flagship store.
“This announcement ensures that jobs are saved for staff in the Telford store and that House of Fraser will sit alongside the fashion quarter development which will open in 2019 and is part of a wider £55 million redevelopment in Telford centre.”
Richard Sheehan, chief executive of Shropshire Chamber of Commerce, said: “This is really good news. It has been a great turnaround to see such a sad situation become a positive one.
“It demonstrates the confidence people have in Shropshire as a destination for business.
“We must not underestimate the challenge the retail world faces, but the fact this iconic store in the county is being retained is extremely positive.
“Hopefully this situation will attract other businesses in the area and put the county on the map.
“It would be be amazing to replicate this in Shrewsbury. Obviously they are evaluating the opportunities that are there.”
Sports Direct steps in
House of Fraser fell into administration earlier this month, and was bought by Sports Direct.
The Telford deal is only the second covering a House of Fraser store since the takeover.
Earlier this week it was announced the flagship store on Oxford Street in London was also remaining open.
Shropshire’s two stores were among the 31 earmarked for closure under the Company Voluntary Arrangement(CVA) restructuring deal that was first struck before Mr Ashley stepped in with his £90 million rescue bid.
His plan is to keep 80 per cent of House of Fraser’s 59 stores across the UK open
The Telford store has had money pumped into it in recent years. The shop opened in 2003, and expanded by 3,500 sq ft when hundreds of thousands of pounds were spent on a refurbishment. Fifty new jobs were under the revamp.
The former Rackhams store on Shrewsbury High Street is one of the oldest shops in the town and underwent a major refurbishment less than two years ago.
The store, in a Tudor black and white building next door to the Unitarian Church, dates back to the Della Porta Department store which traded on the site from 1926.
It was purchased by Hide & Co in 1948 but still traded as Della Porta.
The Shrewsbury shop entertained shoppers when it reopened after its 2016 refurbishment
In 1975 it was bought by House of Fraser, which rebranded it Rackhams, although it again now trades as House of Fraser.
A new cafe was opened, clothing departments were transformed and the interior was refitted when the shop was refurbished in the autumn of 2016.
