Dobbies Garden Centres has refused to comment on speculation that the company is planning a major restructure which could lead to store closures and substantial rent reductions...

Sky News reported that Dobbies was working on a restructuring plan, claiming that advisers from FTI Consulting have been brought in to work on the proposals.

Dobbies, controlled by major American investor Ares Management, is grappling with widening losses, which reached £130 million in its latest annual results, up from the £21.3 million loss reported the previous year. The garden centre group blamed unseasonable weather and high inflation for the disappointing figures.

The company has 77 stores across the UK with a workforce of 3,700, and it’s unclear how many with be affected by a restructuring plan.

Sky News says if the proposals are not approved by creditors, an insolvency process of some kind is likely.

GTN Xtra approached Dobbies for comment but a spokseperson for the company said: "We have no comment to make on this."