Sir Philip Green’s Arcadia Group, which fell into administration earlier this week, has promised to pay £50 million into their pension scheme in next 10 days.
If that happens, it will be almost a year earlier than scheduled.
Back in June 2019, when the Group had launched 7 company voluntary arrangements (CVAs), Green’s wife – also the owner – promised to pay additional £100 million into pension scheme for 3 years.
So far, only £50 million of the promised funding has been paid and remaining £50 million is still due.
However, despite the additional funding, there are concerns that the pension scheme may still fall short of funds. The pledged property assets, in all likelihood, have slumped in value and that’s a worry for the Group.
Meanwhile, UK’s Business Secretary Alok Sharma has asked the insolvency watchdog to investigate and find out whether the conduct of company directors was the reason behind the problems for Group’s pension scheme.
Arcadia Group’s collapse has already put over 13,000 jobs at risk.
Stay tuned for details!