UK value fashion retailer Peacocks says that credit insurance cuts at some of its suppliers are due to general clothing sector trends rather than its own form.

It follows news in The Independent newspaper that credit insurer Euler Hermes was cutting the amount of insurance given to some of Peacocks' suppliers.

While a spokesperson for Peacocks confirmed the report, he said that the retailer was currently performing strongly, and set to benefit from a GBP20m (US$29.6m) fund from two of its shareholders.

The spokesperson told just-style: "It's not just a Peacocks issue, it is an issue across the whole sector. The business is expanding very strongly as a value retailer."

Both Woolworths, which filed for administration last month, and sporting goods retailer JJB Sports saw credit insurers scale back cover on some of their suppliers earlier this year.