🔗 Share this article The luxury department store allocates over £60m to compensate abuse claimants The renowned retailer has allocated more than £60 million as part of its initiative to provide redress to alleged survivors of past abuse. More than 100 workers of the luxury retailer are anticipated to claim a maximum of £385,000 each through the redress scheme which is available until March 2026. Compensation Scheme Details The initiative, established in March, offers compensation to claimants who state they experienced misconduct by previous Harrods owner Mohamed Al Fayed, who died in 2023. Multiple women have accused Fayed, who owned the department store between 1985 and 2010, of rape. Law enforcement inquiries have recorded that 146 people have come forward to detail incidents in their investigation into Fayed. Financial Allocation Harrods has set aside £57 million designated to provide redress to alleged survivors, with an extra £5.3 million reserved to manage legal and administrative costs, bringing the total amount set aside to £62.3 million. "More than 100 victims have entered the system of the program since it was opened," said Harrods Chief executive Michael Ward. He noted: "Compensation awards and interim payments began being issued to eligible survivors at the end of April 2025 and the program will stay active until 31 March 2026." Payment Structure General damages of £200,000 for every qualified claimant Maximum compensation of a maximum of £385,000 in addition to therapy expenses if reviewed by a mental health specialist Other compensation of as much as £150,000 excluding a professional review Partially due to the program, the company posted a £34.3 million negative result in its latest annual financial report, compared with a profit of £111 million the prior year. Organizational Statement "Although we cannot undo the history, we have been committed to act appropriately as an organization, influenced by the ethics we maintain today, while making certain that such behavior can not be happen again in the future," stated Harrods in a announcement. Qualification Criteria To be eligible for the initiative, applicants must establish that they were subject to sexual assault and/or inappropriate procedures, and prove that Harrods is responsible. Several of those who allege Fayed harmed them underwent personal physical assessments when they were recruited. In approving a settlement proposal, survivors will forfeit their option to initiate additional claims for compensation. Business Context The company also operates outlets at London's Heathrow and Gatwick airports, as well as a limited network of beauty stores. Sales for the accounting period 2024 were broadly flat at approximately £1 billion. It credited the decline in income on diminished beauty trading and modernising some of its processes. "The present local and international financial climate means that current business environment in the high-end market remain demanding," added Mr Ward. He added: "Nonetheless, we remain confident in the resilience of the company, and the durability of the premium industry, and that we will continue to push forward towards longer-term expansion and operational goals." Fayed was without formal charges before his death two years ago.