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HMV to resume trading in gift vouchers

Good news for angry grandfathers.

Struggling British retailer HMV will resume trading in gift vouchers from tomorrow, the company's administrators have announced.

Administration firm Deloitte's decision to reverse its stance on gift vouchers comes in the wake of consumer anger, as shoppers were told their gift tokens were worthless.

The case of angry Irish grandfather Eric Nolan hit headlines when the pensioner walked out of an HMV store in Dublin with three games he had refused to pay for. Shop staff had declined to accept a €40 gift voucher he had bought for his grandson Cian.

Hope at last.

Deloitte's decision to halt the sale or acceptance of gift tokens came just weeks after Christmas, the annual peak sales period for store vouchers.

"Since our appointment as Joint Administrators on Tuesday afternoon, we have been urgently assessing the Companies' financial position," Deloitte's Nick Edwards said in a statement passed to Eurogamer. "I am pleased to confirm that, having concluded this assessment, we are able to honour gift cards."

HMV had also paused its payment of proceeds to charities, something it is also set to resume.

"We will continue to assess the longer term options for the business whilst continuing to trade," Edwards concluded. "I am hopeful this process will result in the business continuing as a going concern."

It's beginning to look a bit more hopeful for HMV. Film and music companies such as Sony, Universal and Warner are reportedly planning to back the chain's survival with lower-priced goods and generous credit terms.