Trafford Centre owner Intu Properties has said talks with lenders have failed to reach agreement and warned that it is on the verge of calling in administrators.

In a statement, the group, which has until midnight on Friday to reach a deal,  said “insufficient alignment and agreement has been achieved”, adding: “The board is therefore considering the position of Intu with a view to protecting the interests of its stakeholders.

“This is likely to involve the appointment of administrators.  A further announcement will be made as soon as possible.”

The group, which also owns Lakeside in Essex, confirmed earlier this week that it had put KPMG on stand-by to act as administrators.

It is hoping to arrange a so-called standstill agreement with lenders and warned that if it cannot reach a deal “there is a risk that centres may have to close for a period”.

The collapse of the heavily-indebted group, which has suffered a plunge in revenues due to the lockdown, would place thousands of jobs at risk