Debenhams announced plans to enter administration earlier this week which has left questions being asked by customers on what next?
The retailer has already completed 22 of its planned 50 closures, taking the total number of stores down to 110. It is already expected this number will drop by further 28 stores in the next 12 months.
On Monday a company spokesperson said “ These are unprecedented circumstances and we are filing for administration to protect our business, our employees, and other important stakeholders, so that we are in a position to resume trading from our stores when government restrictions are lifted.
“We are working with a group of highly supportive owners and lenders and anticipate that additional funding will be made available to bridge us through the current crisis period.”
Since then it has been reported that some stores have been cleared of all stock which is leaving the retailer unlikely to open once the government enforced shutdown is relaxed.
What happens if I have a Debenhams gift card?
Customer orders, along with gift cards and returns, are still being accepted and processed as normal.
Customers who have a Debenhams gift card can still spend it online, although the cards cannot be exchanged for cash or vouchers.
If the company goes into administration, it will be the responsibility of the appointed administrator to decide whether or not it will allow gift cards to be used.
The terms and conditions on many gift cards, including Debenhams, warns that the funds are not covered by the Financial Services Compensation Scheme and in the unlikely event of the issuer of this product becoming insolvent, some funds on the card may not be available to spend.
