HIGH street retailer BHS has collapsed into administration, putting 11,000 jobs at risk and threatening the closure of up to 164 stores.

It is the biggest retail failure since Woolworths went bust in 2008,

In a statement, administrators Duff & Phelps said: "The group (BHS) has been undergoing restructuring and, as has been widely reported, the shareholders have been in negotiations to find a buyer for the business. These negotiations have been unsuccessful.

"In addition property sales have not materialised as expected in both number and value.

"Consequently, as a result of a lower-than-expected cash balance, the group is very unlikely to meet all contractual payments.

"The directors therefore have no alternative but to put the group into administration to protect it for all creditors.

"The group will continue to trade as usual whilst the administrators seek to sell it as a going concern."

The company's owner, Dominic Chappell, said he will continue to work with the administrators to "find a solution post the administration".

He also said "no-one is to blame" for the collapse.

Speaking to the Press Association, Mr Chappell said: "No-one is to blame. It was a combination of bad trading and not being able to raise enough money from the property portfolio.

"In the end, we just couldn't reach an agreement with Arcadia over pensions."

BHS was bought last year by a consortium called Retail Acquisitions, headed by Mr Chappell, for £1 from retail entrepreneur Sir Philip Green, the owner of the Arcadia retail empire.

BHS has debts of more than £1.3 billion, including a pension fund deficit of £571 million, which proved a major stumbling block in last-ditch rescue talks over the weekend.

Rival retailer Sports Direct is understood to want to some of BHS's 164 stores, but will only do so if it does not have to take on any pension liabilities.

Sir Philip is reported to have offered £80 million towards the cost of BHS pensions, though the regulator could still pursue further payment from the retail billionaire.

The fashion and homewares chain was thrown a lifeline last month when creditors backed two company voluntary arrangements (CVA) designed to revive its ailing business by cutting the cost of its leases and preventing widespread store closures.

However, the deal hit problems last week when a £60 million loan, making up a crucial part of the deal, had not been secured.

Joe Rundle, head of trading at ETX Capital, said: "BHS may have been another Woolworths that struggled to adapt to the new retail world.

"But the same pressures that squeezed the life out of BHS are being felt across the UK retail sector today."

Uncertainty is the order of the day among staff at the Taunton store, which is open as usual this morning.

One employee said: "We haven't been told anything. We've just got to carry on as normal."