Deloitte says HMV stores will begin to accept gift vouchers again from Tuesday after suspending their use last week when it fell into administration due to poor trading.

Joint administrator Nick Edwards said it was able to honour gift cards after “urgently” assessing HMV’s financial position.

He added: “We will continue to assess the longer term options for the business whilst continuing to trade. I am hopeful this process will result in the business continuing as a going concern.”

Administrator Deloitte also said that money raised by the music and DVD retailer, which fell into administration last week due to poor trading, through the sale of charity releases will be paid in full as soon as possible.

Turnaround firm Hilco has emerged as the frontrunner to buy the business. Universal Music, Warner Music and Sony are also reportedly considering whether to offer a potential owner generous credit terms and slashing the price of CDs and DVDs to help keep HMV on the high street.

Deloitte’s Nick Edwards, Rob Harding and Neville Kahn were appointed as joint administrators on January 15.