Cardiff West MP, Kevin Brennan, has called on the UK Government to do all they can to not only encourage further talks between clothing chain Peacocks and its lenders but also assist the retailer to safeguard jobs.
Mr Brennan is concerned over today's news that the Cardiff-based retailer faces possible administration following a breakdown of talks between the retailer and a major bank.
Around 400 staff work at their Cardiff headquarters and hundreds more in stores across the city and south Wales.
"This is potentially a big blow to the people of Cardiff and south Wales as a whole and it would be highly damaging to the Welsh economy," said Mr Brennan.
"Peacocks has been a major employer in Cardiff for a number of years and I think everything needs to be done to try and save the business and jobs.
"I call upon the UK Government to do all they can to not only encourage further talks between the retailer and its banks and lenders but also to assist Peacocks in safeguarding jobs.
"The sooner all interested parties get round the negotiating table and come up with an agreeable solution the better."