The retailer revealed that it had been served its notice by the landlord after planning permission was granted to redevelop the site.
Frasers added that since it acquired the site in 2018 it has “worked collaboratively” with the landlord to keep the store trading for “three years longer than what was originally proposed”.
The store is set to close in January 2022.
Following the news, the retailer also called for an “urgent review” of the “archaic” business rates system in order to “support the future” of the business.
A spokesperson for the retailer said: “It is with regret that we have been served notice by the landlord to close House of Fraser, Oxford Street – following granted planning permission to redevelop the site.
“Since acquiring in 2018, despite challenges faced, we have worked collaboratively with the landlord to keep the store trading 3 years longer than what was initially proposed by the previous owner.”
They added: “As a business, who is continuing to invest significantly into the British high street, we feel it’s only fair to recognise and request an urgent review of the current archaic business rates, which continue to be astonishingly outdated. If business rates were reviewed it would support the future of House of Fraser. Without this, further store closures are inevitable.
“We would like to take this opportunity to thank our staff for their hard work and dedication.”