25 April 2016 - Janet Bird
The collapse of stricken high street retailer British Home Stores has put 11,000 jobs at risk.
BHS officially entered administration on Monday (April 25) after months of valiant efforts to secure its future finally failed.
Administrators Duff & Phelps will now try to find a buyer for the 88-year-old business but, with total debts of £1.3 billion and a £571 million hole in the company's pension assets, a purchaser may prove difficult to find.
If a buyer for BHS cannot be found, it will be the biggest high street collapse since Woolworths back in 2008.
The chain's staff have been told they will be paid this month, but their contracts will then be terminated.
BHS will continue to trade while the administrators try to sell it as a going concern.
The announcement the retailer was entering administration came weeks after creditors voted to accept a cut in the rent bill for about 50 percent of its stores. Despite this reprieve, BHS needed extra funding to continue trading. Negotiations to secure a £60 million loan failed to reach an agreement and the company had no choice but to call in the administrators.