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Mothercare annual losses fall by 20% to £87.3million

It said efforts to beat tough trading conditions were hit by “a fracture in the relationship between the non-executive and operating executives, a break- down in trust with key share-holders and the appointment of an array of increasingly expensive professional advisers”.

The retail chain has closed 55 of 134 stores ahead of plan and exceeded its £19million annual cost-saving target.

Mothercare aims to be bank debt-free by 2020 having lowered borrowings from £44.1million to £6.9million.

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UK sales fell 11.8 per cent to £336.6. Shares rose 13⁄4p to 221⁄4p.

CEO Mark Newton-Jones said: “We have achieved a huge amount this year, refinancing and reorganising Mothercare to ensure a sustainable future.”

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