A Scottish-based fashion chain has become the latest high-street casualty of the recession.

The collapse of d2 Jeans has put nearly 800 jobs at risk and 22 people have already been made redundant at the firm's headquarters in Dundonald in Ayrshire. 

All 76 UK stores are to continue trading while a buyer for all or part of the business is sought.

D2 Jeans, which was originally set up by Scottish entrepreneur Sir Tom Hunter, is believed to have posted a pre-tax loss of £2.9million in the year to January 2008 - the most recent period for which figures are available - after a £1.9million loss the previous year.

The retailer's problems are believed to stem from its rental agreements.

It is being reported that administrators BDO has received at least seven expressions of interest in the firm, which was bought by management in January 2008.

James Stephen, BDO business restructuring partner, said: "It is unfortunate that the economic climate and difficult trading conditions have significantly affected the retail sector.

"We are continuing to trade the business and hope to sell all or part of the company as a going concern."