Fashion chain's £50,000 debt written off
- Credit: Abigail Nicholsom
A Norfolk council has been forced to write off a fashion chain's debts worth more than £50,000.
Norwich City Council agreed to write off the business rate debts of Genus UK Ltd, the owners of the Select clothing stores after the company entered a corporate voluntary arrangement (CVA).
CVAs let a company in financial difficulty organise a voluntary arrangement to repay all or part of its debt over a fixed period of time.
A report to the council's cabinet said the write-off was worth £53,735.56, with the company having paid off just £839.83 of its debts.
Across the UK the company owed almost £10m.
You may also want to watch:
At a meeting of Norwich City Council’s cabinet, Paul Kendrick asked his colleagues to approve the write-off.
He said: “This authority does its best to collect business rates - obviously it’s important for the funding of local government.
- 1 Burst water main causes water shortage in Norwich
- 2 7 cheap or free things to do in Norfolk this weekend
- 3 Dinomania tour heading to Norfolk with giant dinosaurs that move
- 4 Friends rally to raise funds for widow over wedding refund
- 5 End of an era as Debenhams closes in Norwich
- 6 Have you seen the 'Milk' graffiti daubed all over Norwich?
- 7 See penthouse views from Norwich rooftop listed for sale for £1.65m
- 8 Norfolk and Suffolk Elections 2021: LIVE Results
- 9 Riverside dog-friendly bar opens in city for summertime
- 10 Cut above the rest: Hair salon premises for sale
“There does come a point where some you can’t collect.”
Council leader Alan Waters added the council “never forgets” a debt and they have successfully managed to claim them back after a write-off in the past.