The Topshop-owner hit back against a The Sunday Times report that it is drawing up plans to enter administration. Sky News previously reported the group was seeking £30 million in loans to help keep the business afloat as England’s second lockdown delivers another blow to the ailing high street retail empire.

“It is not true that administrators are about to be appointed,” Arcadia said in a statement. “The second UK lockdown presents a further challenge for all retailers and we are taking appropriate steps to protect our stakeholders from its consequences.”

Trading administration would allow the business to continue to trade while attempting to sell its brand assets separately. In addition to its flagship Topshop brand, the Group’s portfolio also houses Miss Selfridge, Dorothy Perkins, Wallis, Evans and Burton, employing 15,000 people and operating over 500 sites.

Owner Sir Philip Green’s reputation been engulfed in scandal in recent years over the collapse of BHS in 2016 and allegations of sexual misconduct and abusive behaviour in 2018 and 2019.

The retail group is currently in negotiations with the Pensions Regulator over its estimated £350 pension deficit.