Department store chain Debenhams is to pull out of Ireland in the wake of the Covid-19 pandemic, saying it will not reopen its 11 stores here when the crisis recedes.

The shops closed temporarily last month when restrictions were introduced, and today Debenhams told its c.2,000 Irish staff it will not be reopening the stores when those restrictions are lifted.

Chief executive Stefaan Vansteenkiste said: “We are desperately sorry not to be able to keep the Irish business operating. This decision has not been taken lightly and is no way a reflection on our Irish colleagues, whose professionalism and commitment to serving our customers has never been in question.

Staff directly employed by the company had already been placed on temporary layoff under the payment support schemes for employers and it says it will be working with them to support them through the liquidation process. It’s not known if staff employed by concessionaires will lose their jobs or be redeployed elsewhere.

In Britain, the company has entered administration for the second time in a year to protect the business from creditors during the crisis. There, all 22,000 workers are being paid under the UK government's furlough scheme.

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