International baby goods retailer Mothercare has confirmed that its UK business has entered administration.

The company is to close all 79 of its UK stores and its online business in the region with the loss of between 2,500 and 2,800 jobs.

The company’s profitable international operations are not included in the administration and will continue to trade as normal.

Mothercare Ireland, which runs 14 stores around the country, is separately owned and will not be affected by the move.

Mothercare UK is the latest high street retailer to experience significant financial issues – recording a €42.2m loss in the year to March.

It said it has undertaken a root and branch review of its UK retail business and found that it is not capable of returning to a level of profitability that is sustainable for the business or attractive enough for a partner to “operate on an arm’s length basis.”

It said the business is also unable to continue to meet the UK branches ongoing cash needs.

The administrator’s primary goal will be to establish what Mothercare UK owes and owns before paying off its creditors.

Mothercare chairman Clive Whiley said the company fully understands the impact of the administration on its staff and business partners.

“The UK high street is facing a near existential problem with intensifying and compounding pressures across numerous fronts, most notably the high levels of rent and rates and the continuing shifts in consumer behaviour from high street to online,” he said.

“Mothercare UK is far from immune to these headwinds despite the strength of the Mothercare brand.

“Despite the changes implemented over the last 18 months contributing to a significant reduction in net debt over the same period, Mothercare UK continues to consume cash on an unsustainable basis.

“The action announced today has been carefully thought through and without it, the existence of the wider Group would be threatened.”

The UK stores will be closed on a phased basis in the coming weeks and months.