Administrators set to close all UK Mothercare stores

Stricken retailer Mothercare has been formally placed into administration, with all 79 of its UK stores set to be closed.

PwC has been called in to oversee the administration proceedings, which places the jobs of almost 2,500 people at risk.

Whilst Mothercare’s international franchise operations are profitable, the UK business has been loss making “for a number of years”, says PwC.

The firm entered a a CVA in May 2018, but, despite the restructuring that followed the CVA, trading has “remained challenging.

The UK store portfolio will be wound down over the coming weeks and months.

Zelf Hussain, joint administrator and PwC partner, said: “This is a sad moment for a well-known high street name. No-one is immune from the challenging conditions faced by the UK retail sector. Like many other retailers, Mothercare has been hit hard by increasing cost pressures and changes in consumer spending.

“It’s with real regret that we have to implement a phased closure of all UK stores. Our focus will be to help employees and keep the stores trading for as long as possible.”