CLOSING TIME
Toys R Us launches MASSIVE closing down sale as it announces 106 branches will shut – and everything must go
TOYS R US has decided to close all of its UK stores leaving at least 3,000 members of staff out of a job.
Attempts to sell the business have failed, meaning that the retailer will start plans to close down all of its 106 UK stores.
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The toy giant has launched an up to 40 per cent off closing down sale in all stores in an attempt to shift stock,.
But don't be fooled by the sale stickers after we revealed how the toy retailer is flogging items at higher prices than their rivals.
Stores that were already earmarked for closure will shut their doors by tomorrow if they haven't already.
The rest of the stores are expected to close down within the next six weeks.
KNOW YOUR RIGHTS
Toys R Us has gone into administration. Here are your rights
- Stores will remain open until further notice and stock will be subject to a clearance discount or other special promotions.
- Toys R Us is no longer accepting giftcards and vouchers. If you've not spent yours, unfortunately you won't be able to get your money back.
- Time to Pay. You can continue to pay off items and collect them until March 11. If you decide you no longer want the item then you'll be able to use the money towards the cost of another item in-store until March 11. Now this deadlin has passed, it's unclear what will happen.
- Customers will no longer be able to use "click and collect" or order items online. All outstanding orders will be fulfilled as long as there's stock available.
- If you've bought an item and you want to get your money back. While a company is still trading it should continue to honour your return rights.
- Once a company enters administration you may have to claim back money from your credit card or debit card provider.
- If you bought the item using a credit card then you'll be covered under Section 75 of the Consumer Credit Act - as long as you spent over £100 and under £30,000.
- If you paid using a debit card then you can claim back the cash from your bank using Chargeback.
- If you've bought presents online and paid by PayPal, you may be able to get money back by its Buyer Protection policy if they don't arrive or it doesn't match the seller's description.
- To do this you must first raise a dispute with the seller - you have 180 days to do this after you've made the payment.
Today, 67 members of staff were made redundant at the retailer's head office, with more expected to follow.
The retailer is no longer accepting gift cards, and as the Time 2 Pay scheme deadline has also passed it is unclear what will happen with those customers.
Corporate company Moorfields, who worked on video rental chain Blockbuster five years ago, has been appointed as joint administrators to overlook Toys R Us' insolvency.
Simon Thomas, from Moorfield said: "We have made every effort to secure a buyer for all or part of the Company’s business.
"This process attracted some interest, but ultimately no party has been able to move forward with a formal bid prior to the expiration of the stated deadline.
"It is therefore with great regret that we have made the difficult decision to make a number of positions redundant at the Company’s head office in Maidenhead and proceed with a controlled store closure programme.
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"We are grateful for the hard work of Toys R Us staff during this very difficult period and will be providing support where we can to those who have been made redundant."
The retailer has been in trouble for some time now, fighting to pay off a £15million VAT bill thanks to weak Christmas trading.
Before Christmas it had hoped to have staved-off the threat of administration after reaching a deal with UK's pension lifeboat to plug a £9million blackhole.
The retailer had until February 27 to pay off the bills but it failed to meet it.
As part of the firm's Company Voluntary Agreement (CVA) agreement, it had announced that it will be closing 25 of its 106 stores across the country this spring leaving 800 people without a job.
Hannah Maundrell from said: "It’s a sad end to an era, but not surprising news because we know they've have been struggling to find a buyer.
“It's distressing news for employees of Toys ‘R’ Us and their families, especially because their fates have been uncertain for so long. Now is the time to check what redundancy rights you have and dig out any income or mortgage protection policies you hold."
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Last month, it was reported the company's American bosses had begun an "urgent search for a buyer" for the UK business after poor Christmas trading.
The company has said its large, warehouse style stores, which were opened in the 1980s and 1990s are now too big and expensive to run.
Toys R Us filed for bankruptcy in the US and Canada last September, whilst the entire European side of the store business including 236 stores outside the UK in 10 countries is also on the market.
The Sun Online has contact Toys R Us and we are expecting a statement shortly. We will update the article as soon as we hear back.
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