French Connection, the High Street fashion house behind the once-controversial FCUK brand, is still bleeding red ink.

Losses in the six months to July widened to £12.8 million, forcing the company to close its Northern European retail operations and cut staff numbers in search of a profit.

Those losses are up from £5.4 million last time around.

The Northern European retail arm comprises five stores in Denmark and Sweden that employed 19 people. Fifty head office positions have also been cut.

Chairman Stephen Marks, who owns 40% of the stock, said the business "continues to be severely affected by difficult retail environments in all our markets".

He added: "In addition to the underlying trading issues over recent periods, this has had a severe impact on our financial performance." Marks said the board has been working on a "strategic review" of all businesses with a particular focus on the international arms. That suggests other parts could also be shut.

Turnover rose 4% to £117 million. Like-for-like North American sales, accounting for 16% of turnover, were down 3%. Like-for-likes in the UK were up 2% thanks to a good performance in ladies' wear.

Shares in French Connection today lost 3½p to 53p.