Administrators Deloitte have announced DVD rental company Blockbuster is to close a further 164 stores. Around 800 staff in the affected stores will be made redundant.
The closing stores will stay open for business as normal and customers will be given advance notification of closure so that they can return items in advance.
Blockbuster UK went into administration last month after battling against online rivals, such as Apple iTunes, Amazon’s Love Film and Netflix, and has already said that 160 stores will close.
Lee Manning, of Deloitte, said: “We have continued to review the performance of individual stores since our appointment a month ago and have concluded that further closures are necessary in order to restructure the company for sale.
“We are in discussions with a number of parties interested in purchasing all or parts of the business and will update on progress in due course.”
Meanwhile Morrisons supermarket has announced it is to buy 49 stores from the failed chain.
The Bradford-based retailer will use the acquisition to build a new convenience store franchise, largely in London and the South East.
The transformed “Morrisons M” local shops should open by late summer, creating up to 1,000 jobs, Morrisons said.
While Morrisons has not made any formal commitment to retain Blockbusters staff, the company said it “would be delighted if they wanted to apply for jobs at the new stores”.
The 49 stores being purchased for an unidentified sum are of strategic value to Morrisons which has lagged behind other supermarkets in producing a convenience-store format, as well as a home delivery service.
It also wants to increase its presence in the South East of England.
Nationally, Morrisons has around 11 per cent market share among supermarkets, but in the South it is just 6 per cent.
The UK High Street is going through a tough time with several big names companies going into administration.
Fashion chain Republic became the latest victim last Wednesday, appointing accountants from Ernst & Young to take over the running of the company.
Camera group Jessops has gone under; music and DVD firm HMV has closed 66 stores, while electrical chain Comet closed its doors for the last time before Christmas.
