Video rental and entertainment retailer Blockbuster is to enter into administration, Sky News reports.

Following shortly after the collapse of Comet, Jessops, and HMV, the loss of Blockbuster is yet another blow to the UK highstreet.

The chain operates 528 UK stores and employs 4,190 people.

Deloitte's Lee Manning has been appointed joint administrator.

"We are working closely with suppliers and employees to ensure the business has the best possible platform to secure a sale, preserve jobs and generate as much value as possible for all creditors," he said.

"The core of the business is still profitable and we will continue to trade as normal in both retail and rental whilst we seek a buyer for all or parts of the business as a going concern."

Unlike HMV, Blockbuster will honour gift cards and store credit.

"During this time gift cards and credit acquired through Blockbuster's trade-in scheme will be honoured towards the purchase of goods," said Manning.

Source: Sky News