A RESCUE bid to save Debenhams could be in the pipeline.

Last week, fears were raised about the future of Debenhams, and the department store's biggest concession holder, Topshop-owner Arcadia.

The news potentially put tens of thousands of jobs on the line, including those at Debenhams in Friars Walk.

Mike Ashley's Frasers Group has said it is in talks with Debenhams to save the store's UK operations.

Frasers said that time is short and that the recent administration of Arcadia had complicated things further.

In a statement to the stock exchange, Frasers said: “The company confirms that it is in negotiations with the administrators of Debenhams’ UK business regarding a potential rescue transaction for Debenhams’ UK operations.

“Whilst Frasers Group hopes that a rescue package can be put in place and jobs saved, time is short and the position is further complicated by the recent administration of the Arcadia Group, Debenhams’ biggest concession holder.

“There is no certainty that any transaction will take place, particularly if discussions cannot be concluded swiftly.”

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Frasers finance boss Chris Wootton signalled over the weekend that his company might be interested in a deal for Debenhams, in an interview with the Sunday Times.

“We hope to be able to save as many jobs as possible,” he told the paper. “However, we have found that Debenhams has been overly reliant on Arcadia for many years, and, with the administration of Arcadia last week, as well as no end in sight to the outdated business rates regime which unduly punishes the likes of Debenhams, it may be a bridge too far.”

The potential loss of Debenham's in Friars Walk was described as a "hammer blow" to Newport, last week, by Haydn Thomas, of Hutchings and Thomas Chartered Surveryors.

While Newport City Council leader, Cllr Jane Mudd said: "While this is incredibly sad for Newport and the city centre, it must be a devastating blow for those at risk of losing their jobs.

"We still hope Debenhams can be saved as we know that it is valued by many shoppers and it is a key anchor store in Friars Walk and the city centre,

“It is too early to predict what will happen but town and city centres across Wales and the UK have been impacted by changing shopping habits and the pandemic. Newport is not unique in these circumstances but we will continue to work alongside all partners to support the city centre."

Cllr Mudd added: “For some years, our vision for the city centre has been to create a more diverse mix of uses and when Friars Walk opened just over five years ago, it was one element of our vision,

“Millions of pounds have already been invested through schemes to create housing, offices and other uses, sometimes bringing neglected and vacant properties and spaces back into use.

“We believe Newport is still well placed to take advantage of investment opportunities, and the 2018 city centre masterplan supports the careful coordination of developments to ensure the best possible benefit to the city."