HMRC loses out to Sir Philip Green

The demise of the Arcadia group on 30 November 20 will see HMRC lose most of the £44m it is owed.

The administrators have confirmed that only 10p in the £1 will be returned to unsecured creditors. 

If Arcadia had entered into administration a day later (on 1 December), HMRC would have been a preferential creditor and would have been repaid £30m, as HMRC became a preferential creditor on 1 December 2020. HMRC would rank ahead of the secured creditors.

The only secured creditor, Lady Tina Green has been paid the £50m she was owed ahead of HMRC and the other creditors!!

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