Mothercare shop closures: Baby retailer to close a third of its stores

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It is credited that the firm plans to use a company voluntary arrangement (CVA), an insolvency start, as part of its plans to put its finances on a firmer footing.

CVAs enable consumers to shed loss-making stores and reduce rents on others.

Mothercare has 152 UK depend ons plus 1,150 worldwide and employs more than 5,000.

Like other leading street chains, Mothercare has struggled to cope with a combination of online game and supermarkets, as well as high business rates and rents.

According to the consensus anticipation, the firm will make a statutory pre-tax loss of £11.7million, weighed to the £7.1million profit it made last year.

A Mothercare spokesman waned to comment on its plans but did say: “Mothercare continues to explore a number of options in connection to the group’s finance, which will allow us to support and maintain the impulse of our transformation programme.

“As previously stated, we remain in constructive dialogue with our subvening partners.”

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