Young women's apparel retailer Miss Selfridge has denied it is exiting Singapore next year after a promotional partner mistakenly announced the company's intention to cease trading in the country.

The Singaporean distributor of the British fashion chain, Wing Tai Clothing, is now demanding a retraction.

The controversy began when Citibank sent out letters to update its Clear credit card customers on its redemption program, which entitles cardholders who spend certain amounts to bonus vouchers at Miss Selfridge and more than 60 other participating retailers.

In the letter, Citibank said, "We regret to inform you that Miss Selfridge would be closing down its operations in Singapore in the coming year and hence not be featured in Citibank Clear rewards next year."

However, Wing Tai marketing communications manager Jennifer Chia said this was definitely not the case - but the distributor would be pulling other stores including TopShop, Dorothy Perkins and Warehouse from Citibank's Clear rewards program following the bank's announcement.

Wing Tai is planning to close its Miss Selfridge outlet at Bugis Junction, Seiyu, which is were the misunderstanding may have stemmed from.

"We both feel it is a miscommunication and misunderstanding, and we are working together to resolve the matter," a Citibank spokeswoman said.