HMV on verge of entering administration for the second time in six years

The Christmas period hasn't brought in enough trade, as ITV report HMV have appointed administrators at KPMG.

HMV first fell into administration back in January 2013, and was bought out by Hilco, who restructure and refinance other companies.

Paul McGowan, the executive chair of HMV and Hilco, explains the current market is to blame for the lack of sales, "During the key Christmas trading period the market for DVD fell by over 30% compared to the previous year and, while HMV performed considerably better than that, such a deterioration in a key sector of the market is unsustainable."

He adds, "Even an exceptionally well-run and much-loved business such as HMV cannot withstand the tsunami of challenges facing UK retailers over the last 12 months on top of such a dramatic change in consumer behaviour in the entertainment market."

Since they first fell into administration in 2013, HMV have been trying to get more shoppers in their stores by hosting special events such as in store signings and performances from the likes of Stormzy, Jessie Ware, Kylie Minogue, and more.