Moving its headquarters from Reykjavik to London is part of a restructuring which has included selling its Bonus supermarket business in Iceland to focus on retail investments, mainly in the UK.

A spokeswoman for Baugur said: “We are investigating how best to move the headquarters to London. We no longer have any Icelandic assets and 85 per cent of the portfolio is based in London, so it makes sense to be based here.” Any move has to be agreed by the group’s board.

The move would enable Baugur’s executive chairman, Jon Asgeir Johannesson, to continue to head the group.

He faces the possibility of being banned from being a company director in Iceland after the upholding of a book-keeping conviction.

Earlier this year Baugur sold its media, technology and financial investments, leaving it with retail brands with an estimated value of £1.5billion.

Its portfolio includes Mosaic and holdings in French Connection and Debenhams.