4,190 jobs at risk as another UK retailer lands on tough times.
Blockbuster UK is to enter administration, with 4,190 jobs at risk.
It's the second major blow to the UK entertainment industry after HMV appointed administrators yesterday.
Sky News reports that Deloitte's Lee Manning has been appointed joint administrator and blames Blockbuster's retail woes on the shift to streaming services and Internet rivals.
"The core of the business is still profitable and we will continue to trade as normal in both retail and rental whilst we seek a buyer for all or parts of the business as a going concern," said Manning in a statement.
"During this time gift cards and credit acquired through Blockbuster’s trade-in scheme will be honoured towards the purchase of goods."
Blockbuster currently has 528 stores in the UK.
Blockbuster is an American company that can't seem to take care of any branches outside the US. Their other stores are operating as normal. Perhaps they should keep them there?
They had it coming, just like HMV they've been ripping people off for years, video rental from a retail location went out with video, their number was up way back
great another shop in my town gone that means i now have ASDA to buy my games from.....and that's it
I feel really bad for these shops as I once used to regularly use them to get my games but times are tough and when I can get the same thing from the internet, delivered to my door for sometimes as much has 50% less it's little wonder they struggled.
Another 1 gone, wow shops are dropping like flies and just cant compete with the internet now. The problem is tho with all these shops closing and more to come, it puts more and more people out of work, less money to spend, so less spent anywhere else. Eventually its going to be devastating to the economy. People think its bad now.
@07wintert Throwing money at failing businesses isn't going to solve the problem. The market is changing and nothing short of authoritarian rule is going to stop that. You can't ban the internet.
I'm surprised Blockbuster have managed to hang on this long actually and yeah, I was under the impression they were closing last year sometime citing online competition and digital retail as the cause of it's downfall.
Blockies were just too behind the times and it bit them in the arse big time.
Management have a lot to answer for here.
Wow I didn't know this shop was still up and running until now, last time i went into Blockbuster was to rent a video tape and sonic for the Sega mega drive lol. wow i feel sorry for all those people going out of work, it sounds to me like they should have done more to compete with the likes of lovefilm, netflix etc. it's hard times were living in, these shops are closing down like wild fire at the moment soon they won't be any older shops open.
if you couldn't see that happening like hmv with their overpriced products competing with online dealers your blind. Its a pity for the employees but the world is moving forward, a change in the way we do things is imminent. Shopping is the beginning.
Who the hell still goes to BlockBuster? Netflix and Gamefly are taking over. Though I use neither services, they're both just the better deal.
Much as it sucks for the people loosing their job, its about time. Blockbuster have been outdated for years, and the experience is just annoying now...
Really ??? you sure about this news been accurate ? No news about this in their website, and i just rented a game yesterday... :/
With all these high street chains failing together there won't be anyone left to take advantage of being the only store left to sell CDs, DVDs, Bluray and Games.
There was a Blockbuster store that closed where i live, it still didn't work, they just keep losing money, people are just not wanting to rent games any more, they want to buy them or download them
@R_FGamerChris Boomerang and Lovefilm are renting games out just fine. Sometimes I want to play a new game, but I don't think it's good enough to pay full price for, so I rent a copy and have it sent by mail.
@MooncalfReviews - some people still do rent games but the majority of people dont seem to rent games/dvd's from blockbuster, i guess i forgot to add it in the comment before :(
How is this company still in business? And I don't just mean the UK division. They were the king of video stores 20 years ago but they failed to do what a good business must do and evolve. They have gone the way of the dinosaur and should close to make way for companies that changed with the times, took advantage of technology and opportunities, and don't try to charge people $5 to rent a movie for a day.
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