Office Outlet CVA approved by creditors

The retailer said the clutch of shops will cease trading by the end of 2018.

Office Outlet will also pay a reduced rent at dozens of its remaining 91 locations, after 93% of creditors gave its property plans the go-ahead.

As previously reported, Office Outlet launched the CVA last month, blaming a “significant decline in footfall” at out-of-town retail parks.

Office Outlet – previously known as Staples prior to its acquisition by Hilco last year – is the latest in a string of retailers to launch CVAs amid a turbulent trading environment.

New Look, Carpetright and Homebase are among a host of embattled businesses to have turned to the insolvency process in 2018 as retailers face into a perfect storm sparked by rising business rates, increases in the living wage, fragile consumer confidence and the growing influence of online competitors.

Office Outlet boss Chris Yates said: “This restructure together with the initiatives already implemented have created a stable platform from which to implement the business turnaround and return the group to profitability.

“Working in partnership with our landlords we will work tirelessly to deliver the appropriate store size for the rapidly changing UK retail landscape.

“Finally, we look forward to working with our loyal team and suppliers in the future and thank them for their ongoing support during this process.”