15 retailers could collapse at start of next year

Up to 15 national and regional retail chains could go bust at the start of 2009, insolvency experts have warned.

Corporate rescue and recovery specialists Begbies Traynor commented that it would, "not be surprised" if up to 15 chains collapsed before the end of January due to an inability to pay the first quarter of rent.

The warning comes as one of the largest post-Christmas sales takes place, with some stores cutting prices by up to 90%.

"I think that it's going to be a very bad year for retailers and we're likely to see more announcements like we've seen from Woolworths and MFI," said Matthew Sherwood, a senior economic advisor at analysts Experian. 

Zavvi, Britain's biggest entertainmnet retailer, went into administration on Christmas Eve, putting the jobs of its 3,500 staff in severe danger.