Baugur, the Icelandic investment group that owns much of the British high street, could move to the UK in the wake of the conviction on book-keeping offences of executive chairman Jon Asgeir Johannesson.

Lawyers for Baugur, whose sprawling retail portfolio includes House of Fraser and Hamleys in the UK, are investigating whether to redomicile one of Iceland's most famous companies to avoid the possibility of Mr Johannesson's being banned as a company director following the end of a six-year legal battle this month.