British Home Stores (BHS) has called in administrators Duff & Phelps after plans for a last minute deal to keep the business running fell through.
In a letter to its 11,000 employees yesterday evening, the company's largest shareholder Dominic Chappell said: "It is with a deep heart that I have to report, despite a massive effort from the team, we have been unable to secure a funder or a trade sale."

In a statement released this lunchtime, Duff & Phelps said: "The group has been undergoing restructuring and, as has been widely reported, the shareholders have been in negotiations to find a buyer for the business. These negotiations have been unsuccessful. In addition property sales have not materialised as expected in both number and value."

It is thought bosses at BHS were keen to sell to Sports Direct owner Mike Ashley, but that talks broke down over the struggling retailer's £571m pension debts.

The downfall of BHS marks the biggest retail collapse since Woolworths in 2008. Mr Chappell, who bought BHS from Topshop owner Sir Philip Green for £1 last year, told workers "it has been a real pleasure working with all of you on the BHS project, one I will never forget."