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11 June 2018, 15:47 | Updated: 11 June 2018, 16:10
Administrators have been called in at Poundworld which has around 20 stores across the East Midlands.
Poundworld has become the latest retail store to collaspe into administration on the British high street, putting 5,100 jobs at risk.
Poundworld, which is owned by TPG Capital, has 335 stores across the UK, including around 20 in the East Midlands.
Its collapse comes after both Toys R Us and Maplin fell into administration earlier this year.
Adminstrators, Deloitte, are currently trying to find a buyer for the business, and has said that there will be no redundancies or store closures at this time.
Clare Boardman, joint administrator at Deloitte, said: "The retail trading environment in the UK remains extremely challenging and Poundworld has been seeking to address this through a restructure of its business. Unfortunately, this has not been possible."
She said the business was mainly hit by falling footfall of shoppers and rising costs.
A spokesman for TPG said putting the business into administration was a "difficult decision".
"We invested in Poundworld because of our belief in how the company serves its customers and the strength of its employees," he added.
"Despite investing resources to strengthen the business, the decline in UK retail and challenging behaviour affected Poundworld significantly."
Poundworld's losses widened in 2016-17 to £17.1 million, from £5.4 million of losses the year before.
The Poundworld stores in the East Midlands are; Leicester Haymarket, Leicester Bargain Buys, Chesterfield Clay Cross, Chesterfield Vicar Lane Shopping Centre, Nottingham Trinity, Nottingham Ladybay, Nottingham Victoria Centre, Nottingham Broadmarsh, Derby West Field, Derby Southgate, Sutton in Ashfield, Derby, Hinckley, Loughborough , 2 in Mansfield, and Worksop.