HIGH street retail chain Wilko will shut down completely by early October, with the loss of 12,500 jobs, GMB union said today.

The union, which represents more than 3,000 Wilko staff, spoke out after talks aimed at saving the company collapsed.

Two distribution centres at Worksop and Newport will shut for good on Friday, GMB said.

It comes after a last-ditch attempt by the owner of HMV to strike a rescue deal for the retailer collapsed.

GMB said the disaster “isn’t a tragedy without a cause” and blamed greedy owners for the chain’s bankruptcy.

Labour said Tory economic policies were responsible for the destruction of the Britain’s high streets.

GMB national officer Nadine Houghton said: “Wilko was far more than a brand, a retailer or the products it sold, it was the thousands of loyal team members now facing an uncertain future.

“Wilko may have ceased genuinely being a family brand many years ago, but the staff kept the real family ethos of Wilko alive until the very end. 

“It is the family that Wilko colleagues made for themselves that will be missed the most.

“This isn’t a tragedy without cause. Wilko should have thrived in a bargain retail sector that is otherwise strong, but it was run into the ground by the business owners.

“Money was siphoned out of the business for dividends, warnings about what needed to be done to save the business were not heeded and advice around what the business to do to thrive was not listened to.

“No worker caused the downfall of Wilko. But they will be the ones who will suffer — all as the owners get off scot-free. 

“GMB will not stop campaigning for the owners of this debacle to be held to account.”

Labour’s shadow business secretary Jonathan Reynolds said: “This is heartbreaking news for staff and their families who have been holding out hope of a deal that would protect their jobs. 

“Sadly, shuttered-up shops have become the norm under the Conservatives who have weakened the foundations of our economy with local high streets paying the price. 

“Labour will take the action needed to revive the great British high street reforming business rates, cracking down on anti-social behaviour and putting an end to empty premises to bring shoppers back to their high street.”