Toys ‘R’ Us has drawn up plans to close a quarter of its shops in Britain, with hundreds of jobs set to be lost.
The toy company is preparing to announce the closure of about 25 of its 105 stores in the UK, insiders told Sky News.
It is feared that several hundred jobs could be lost, though the exact number is not yet known.
The retail giant currently employs about 3,200 people in the UK, and could announce the plans as soon as Monday.
Toys ‘R’ Us said all of its stores will remain open for Christmas and into next year.
Sky News said the company is launching a company voluntary arrangement (CVA), which would require the go ahead from 75% of its creditors.
It is believed that the larger stores outside towns and cities are most likely to be affected as their performance has been weaker.
Metro.co.uk has approached Toys ‘R’ Us for a statement.