Just days after UK music, film, and video game retailer HMV slipped into administration, fellow long-running store Blockbuster has done the same.

Deloitte has been appointed as administrator of both chains.

Blockbuster has 528 stores across the UK and employs 4190 staff, while HMV’s 247 stores employ about 4,500 people.

"In recent years Blockbuster has faced increased competition from internet-based providers along with the shift to digital streaming of movies and games," Deloitte administrator Lee Mannnig told Eurogamer.

"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.

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

HMV is also confident it will recover.

"We've got an administrator from Deloitte coming in and I understand the plan is to carry on trading with a view to finding a buyer or to at least develop some options that will allow us to take the business forward," company spokesperson Gennaro Castaldo told Eurogamer.

"We don't see this as a final chapter; we still believe there is a future. It might have to be a slightly different future, but one we can still try to achieve, so we're working hard to make that happen."

The company has refused to honour gift cards, but hoped to fulfil pre-orders.

"We're doing our very best to continue operating as per normal. There are a couple of areas such as gift cards where unfortunately we can't do that, but effectively we've got new owners now and when you get into an administration it can impact on vouchers and gift cards. But everything else we're doing our best to continue as normal," said Castaldo.

Meanwhile, The Guardian is reporting that up to 140 UK retailers are in “critical condition”.

Julie Palmer, a partner at business recovery firm Begbies Traynor, told the paper that 140 retailers were on her firm's "critical watchlist".

There had been a 35 per cent rise in the number of retailers experiencing significant distress before Christmas, she said.

Those on the list were a mixture of well-known names and smaller retailers.

"Experiences teaches us that a high proportion [on the critical list] will fall into some sort of insolvency proceedings," she said.

"Overall, the sectors that are most vulnerable include those affected by shoppers moving to online or digital formats, such as specialists in music, games, books, news and stationery.”