– Julie Palmer, Partner at business recovery specialist, Begbies Traynor
With 140 UK retailers already on our ‘critical’ watchlist, and our recent research highlighting over 13,700 retailers experiencing 'significant' distress in the 11 weeks to 17 December 2012, a 35% increase from the third quarter, news of the administration of the third major retailer in less than a week will create a serious new year hangover for landlords across the country and employment in the sector.
It can also only serve to damage consumer confidence in the retail sector further in the months ahead.
Blockbuster's administrators have confirmed they will close 129 stores, in addition to the 31 already announced. The company has 528 stores employing 4,190 staff.