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Mothercare to go into administration with 2,500 jobs at risk
4 November 2019, 08:28
Mothercare has announced plans to put its UK retail business into administration, putting 2,500 jobs at risk.
The chain has 79 branches across the UK.
Mothercare said its UK stores were "not capable of returning to a level of structural profitability and returns that are sustainable for the group.
"Furthermore, the company is unable to continue to satisfy the ongoing cash needs of Mothercare UK," it added.
It said its stores would continue to trade as normal for the time being.
Mothercare UK slumped to a £36.9 million loss in the financial year to March, as it has struggled amid a period of turmoil for high street retailers.
The retailer, which has around 500 full-time staff and 2,000 part-time employees, is set to follow the likes of Bonmarche, Jack Wills and Karen Millen, which have gone bust in recent months.
Mothercare has been looking for a buyer for the UK stores, but with no success so far.
The global Mothercare group said it has undertaken a review of the UK business and found that it is "not capable of returning to a level of structural profitability".
This story is being updated