HIGH street fashion retailer Austin Reed Group has announced plans to close 31 stores through a company voluntary arrangement as it looks to secure the future of the business.

Headquartered in Thirsk, and with stores in York in Davygate and York Designer Outlet, Austin Reed has appointed Neville Kahn and Rob Harding of Deloitte as nominees for the company voluntary arrangement (CVA), which will affect 70 of its 232 stores.

The are for Country Casuals Ltd (CC) and Austin Reed Ltd and are part of a broader operational restructuring, which includes a £3 million cash injection from the group's shareholders.

While the firm is yet to reveal which shops are subject to the CVA, it has said the strategic review has highlighted that 31 stores are no longer to viable to operate, with those stores, made up of nine Austin Reed stores, and 22 CC stores, set to be subject to a 50 per cent rent reduction ahead of "likely closures" after six months.

The 114-year-old firm is also looking to strike a deal with landlords for 35 underperforming stores to reduce rent by 20 per cent for 12 months.

Creditors, mainly landlords, are due to vote on whether to accept the company’s proposals next month.

Mr Kahn said: "The proposals to landlords are a necessary step to provide a sustainable platform for the business.

"As with a number of retailers in the current market, the group has a traditional bricks and mortar portfolio in an increasingly multi-channel environment.

"We consider the proposed CVAs to be fair and in the best interests of all stakeholders, providing certainty for landlords, and an ongoing future for the business."