High street retailer Wilko is said to be at risk of collapse, potentially leaving more than 400 stores closed and up to 12,000 staff out of work.

The homewares retailer, which has a major store in Newton Abbot’s Market Walk, has been trading since 1930. It has now appointed administrators at the High Court and has 10 days to save itself.

Wilko chief executive Mark Jackson was quoted: ‘While we can confirm we've had a significant level of interest, including indicative offers that we believe would meet all our financial criteria to recapitalise the business, at present, we don't today have an offer that provides the necessary liquidity in the time we have available, given the mounting cash pressures we're faced with.

‘Unfortunately, with this in mind, today we're having to take the difficult decision to file an NOI.

‘We’ll continue to progress discussions with interested parties with the aim of completing a transaction which preserves the business and will encourage those interested parties we’re in discussions with to move as fast as possible.  We continue to believe that our robust turnaround plan, with significant re-stabilisation cost savings in progress, will deliver a profitable wilko and maximise the significant opportunities that we know exist. We’re a £1.2bn turnover business with strong presence on UK high streets through our 400 stores, online at wilko.com and through our great value wilko own brand products, serving local communities with their everyday household and garden needs for over 90 years.

That said, while we’ll continue to progress these indicative offers, without the surety of a recapitalisation being able to be completed within the necessary time frame and given the cash position, we’ve been left with no choice but to take this action.