Fast fashion chain Forever 21 has filed for Chapter 11 bankruptcy protection and said it will close a large number of stores.

The filing allows the US retailer to continue operating while it attempts to reorganise the business and return to profitability.

Forever 21 plans to close up to 178 stores in the US, as well as most of its stores in Europe and Asia. According to its website, the company has three stores in the UK – in Birmingham, Liverpool and London.

In a message to customers posted on its website, Forever 21 said it is still deciding which US stores to shut, depending on the outcome of ongoing negotiations with landlords.

It added: “Our stores are open and it will continue to feel like a normal day – you will not see any changes in our stores, gift cards will continue to be accepted and our policies, including returns and exchanges, remain the same.”

The 35-year-old company has 815 stores in 57 countries, over 500 of them in the US. Once popular with teenagers for its trendy, low-price designs, Forever 21 has buckled in the face of high rents and competition from online retailers. Young Americans are also increasingly turning away from throw-away clothes, preferring second-hand and environmentally friendly products.

If Forever 21 closes its UK stores, it will join an army of brick-and-mortar retailers in Britain that have wobbled or collapsed outright in recent years.

Among the more high-profile failures, Debenhams and L.K.Bennett went into administration in the spring, while House of Fraser and Coast met the same fate last year.

Additional reporting by agencies