Hundreds of people who have recently bought a computer from Britain's biggest computer retailer face losing their money as the company has gone into administration.

The company that owns the Time and Tiny Computer brands, Granville Technology, has gone into administration following losses of £2m a month since the start of the year.

The group is citing 'competitive pressures' as the reason for the collapse of the company that will result in the lost of 1,500 jobs, all but one of its directors and its 78 stores up and down the country.

The administrators said: 'The Group has fallen victim to the continued price deflation in the personal computer market, exacerbated by a softening of consumer demand in recent months, and pressure from suppliers. These redundancies were therefore inevitable.

However the future is uncertain for the thousands of customers who have warranties with the company as to whether or not they will be still be valid.

A phone line (0870 381 7097) has also been set up for customers who want to talk to the adminstrators as to what they can do next. As yet there is no confirmation that orders placed and paid for in the last couple of days will be fulfilled.