Deloitte has stepped down as auditor of Very Group, after struggling to gain access to its financial information.
Creditors by Very Group were informed of the resignation on Wednesday, adding further pressure to the Barclay family.
Deloitte, which has overseen the online retailer’s accounts for the last 11 years, said it quit after struggling to access “appropriate and relevant information in respect of certain financing arrangements between companies in the wider group.”
The fashion and home retailer’s structure is spread across various businesses, with its ultimate owner located offshore.
Deloitte said some of these businesses were “either not audited by the same audit firm or are unaudited”.
According to Companies House, accounts for Shop Direct Holdings Limited, its top company in the group located in the UK, have been overdue since the end of 2023.
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In a statement, Very Group, which is yet to hire a new auditor, said: “Deloitte has consistently provided clean, unmodified audit opinions and Very Group continues to perform strongly.”
They said that “all the necessary information” had been given to the Big Four accountant and that Very’s accounts “were filed on time and with an unmodified audit option”.
Deloitte confirmed although it had ultimately resolved its difficulties in accessing information, it still wished to step down as auditor.
The resignation immediately led to a sell-off in Very’s bonds, due in 2026, as they slumped over 3% to 85p in the pound, marking its lowest point since November.
Last month, Very secured £125m of funding from US and Middle East private equity firms, as it swung to a half-year loss.
The online retail group is set to be given £85m from Carlyle and a further £40m from Abu Dhabi-based IMI, with both private equity houses taking a seat on the retailer’s board.
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