As Iceland’s economy struggles to cope with a bank bail-out, a faltering currency, and the threat of worse to come, prominent Icelanders have been playing down links to their country.

Baugur’s Jón Ásgeir Jóhannesson, chairman and founder of the investment company that owns much of the British high street, has told his fellow citizens that the company is sound because its assets – and much of its debt – are based outside Iceland.