Morrisons M Local small

One of the stores in its Morrisons Local capacity

Morrisons has given a lifeline to up to 1,658 My Local staff, offering to rescue their jobs if there are store closures at the stricken c-store chain.

My Local owner Greybull Capital has announced its intention to put the firm into administration, lining up KPMG to act as administrator to its chain of more than 100 stores.

My Local was sold to Greybull last year by Morrisons, and Morrisons has now said that if no buyer for the chain is found, it will offer its former staff jobs at the supermarket.

A Morrisons spokesperson said: 'We are saddened and disappointed to learn that My Local is about to enter administration.

'We want to help our former colleagues who now work for My Local.

'We can therefore confirm that if no buyer is found, and stores close, we will welcome our former colleagues back to a job at Morrisons.'

KPMG will attempt to sell the business as a going concern but, if a buyer cannot be found, then the stores will be sold off piecemeal or closed down.

It is understood that The Co-op's convenience store arm has picked up five stores, with Sainsbury's also acquiring one.

Nisa Retail had announced a £1 billion supply deal with the chain last year.