A turbulent year for House of Fraser and more to come

Moody’s has labelled House of Fraser “a very high credit risk” following a tough 2017. David Beadle, Senior Credit Officer at Moody’s, said a decline in profitability and deterioration in the retailer's already weak credit level meant a B3 rating was no longer appropriate.

The year has included a website overhaul that disrupted sales in April and May. Heavy investment in restructuring its IT systems, overhauling its warehouse and scrapping some underperforming fashion brands, meant that House of Fraser’s first-half losses widened to £8.6 million before interest, tax, depreciation and amortisation from £0.9 million the year before.