SCORES of staff at Hampshire branches of department store Allders face an uncertain future after the chain collapsed into administration last night.

The outlook for Allders' 5,700 UK staff and their pension entitlement is unclear.

The chain, which has four branches in Hampshire, including one in Southampton, was put up for sale last month. Corporate restructuring specialists Kroll were called in by Allders' directors last night after they failed to find a buyer for the department and homewares group which has debts of up to £150m.

Staff have been paid until the end of this month and will continue to be paid while the administrators decide the group's future.

Kroll said the stores would stay open and continue to trade while options for the business are reviewed, but it hopes to sell it as a going concern.

Retail rivals such as Debenhams are thought likely to bid for certain Allders stores.

The move into administration could mean financial anguish for the 2,500 members of the chain's pension scheme, which is understood to have a sizeable black hole.

The fund was valued at £57.4m in 2003 but could face a shortfall of up to £75m if it is to match the full "buyout" cost of pension liabilities.

Property group Minerva, which owns 60 per cent of Allders' parent Scarlett Retail, is already reported to have insisted that it has no liability for the deficit.

Shoppers who have handed over deposits for goods that are in stock will be able to take delivery so long as the balance of the purchase price is paid. If goods are not in stock, customers will be able to buy other goods up to the value of their deposits. The administrators are attempting to avoid a re-run of the angry scenes that followed the collapse of furniture retailer Courts last month when customers were told that, unless they had paid by credit card, they had lost their money. Police were called to the Courts store in Hedge End by staff after an angry mob gathered.