Toys R Us is set to shut down all of its UK stores after failing to find a buyer, with the retailer now shutting down in the region indefinitely. Over 100 stores will be shut down following this announcement, leading to the loss of at least 3,000 jobs.
The once mighty toy retailer has now been forced to ramp up its closing down sales, spreading them to each of its 106 stores. It was hoped that a buyer would be able to pull the retailer up from the brink of collapse, though a lack of interest in keeping it afloat has seen its fortunes worsen. Moorfields, the company who worked alongside Blockbuster when the video rental chain went into administration, has been tasked with working alongside Toys R Us through its insolvency.
Administrators stated that they “remain open to interest from potential buyers for parts of the business,” though the future looks grim for the retailer after a buyer was not found prior to its February deadline.
Toys R Us faces a £15 million tax bill that it has been unable to pay, with the company’s US parent company also said to be nearing collapse, potentially shutting down 800 stores in the United States this month.
Can You Still Use Toys R Us Gift Cards?
From a retailer’s perspective, not only is it sad to see a high street institution face the harsh reality of an online world, but those with outstanding gift cards will also be left empty-handed.
Toys R Us previously stated that all purchased gift cards would be honored until Sunday, March 11, and the retailer has stood by this statement. Those with gift cards they have yet to exchange will now no longer be able to do so after the deadline passed last weekend.
The closure sales will see the remaining Toys R Us stores reducing the cost of their stock prior to closing up shop.
Image Credit: DANIEL LEAL-OLIVAS / Getty Images
