Blockbuster has admitted that they are in severe financial difficulty.

Increasing from rental and streaming services like Love Film and have forced the company to admit there is "substantial doubt about our ability to continue as a going concern".

According to MCV Blockbuster are even having trouble securing DVD stock from the major Hollywood studios due to rising debt.

Blockbuster has stated: "Our level of indebtedness may make it more difficult for us to pay our debts as they become due and more necessary for us to divert our cash flow from operations to debt service payments."

By Ewan Aiton