The future of two major retail stores in Croydon is in doubt after HMV announced that it will close 60 stores across the UK.

The two stores are located only minutes from each other in North End, and the company's Christmas sluggish sales, combined with the VAT rise, may mean one of them could close.

HMV is planning an extra £10m of cost savings, which will almost certainly lead to significant job losses. Some branches of book chain Waterstone's may also close in the cutbacks.

A spokeswoman for HMV group said: "We haven't identified where these closures will be but we are looking at areas with multiple outlets."