Up to 70 staff are to be axed from two branches of Ethel Austin in Shropshire after administrators moved in on the national chain, it was revealed today.

Staff in Shrewsbury and Wellington are to lose their jobs after administrators, MCR, confirmed they were starting a closing down sale at both discount retail stores.

Richard Merrin, spokesman for MCR, today confirmed 60 to 70 jobs are expected to be lost from Shrewsbury and Wellington.

Shropshire’s three other branches in Oswestry, Market Drayton and Whitchurch will remain open.

The discount retail chain, along with sister homeware chain Au Naturale, is looking to cut 469 jobs and launch a closing-down sale at 129 of its stores.

The administrators said 129 loss-making outlets from the group’s network of almost 300 stores would begin a closing-down sale, although MCR has not ruled out a rescue if a willing buyer can be found.

A total of 404 jobs will be lost at the group’s distribution depot and a further 65 at its head office. Both sites are at Knowsley, Merseyside. The 76-year-old group is in administration for the second time in two years following an earlier rescue from collapse in May 2008.

MCR said it had been in regular dialogue with trade unions and local government authorities over the prospects of the two companies and the staff.

It also confirmed any unpaid wages owing at the date of the administration will be fully paid in line with usual payment dates.

But John Gorle, national officer at union Usdaw, said: “This is devastating news for our members, many of whom are long-serving, loyal employees. We will be working hard with the administrators to salvage what is left of the business.”