The troubled sportswear retailer JJB has taken a massive step towards safeguarding its future and 12,000 jobs after the majority of its creditors approved of its company voluntary arrangement.

An overwhelming 99% of creditors voted in favour of the CVA, an insolvency procedure which it will use to compensate landlords for the 140 retail stores it plans to close.

If, as expected, JJB secures a 50% approval vote from shareholders tomorrow, it will get access to a new short-term £25m loan with Barclays and a medium-term £25m revolving facility with Bank of Scotland.

The Independent