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Zavvi closes 22 stores

Entertainment retailer lays off 178 staff after falling into administration

High Street entertainment chain Zavvi is closing 22 stores with immediate affect after falling into administration over Christmas.

The closures leave 178 employees redundant, adding to the 69 head office staff who were laid off at the end of 2008.

From Friday, the remaining 92 stores will slash between 20 and 50 per cent off prices in store.

"Despite record consumer demand since Christmas it is no longer possible to support continued trading across all of the Zavvi stores," offered Tom Jack, of administrator Ernst & Young.

"Unfortunately the current difficulties faced on the UK High Street seem to be discouraging retailers from investing in a significant number of new stores."

The administrators said it had received 60 expressions of interest, and remains hopeful of a sale.

"We intend to continue to trade the remaining Zavvi portfolio with a view to selling all or part of the Zavvi business as a going concern. So far we have received 60 expressions of interest, which we continue to actively pursue."

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Matt Martin


Matt Martin joined GamesIndustry in 2006 and was made editor of the site in 2008. With over ten years experience in journalism, he has written for multiple trade, consumer, contract and business-to-business publications in the games, retail and technology sectors.