Poundworld set to disappear from the high street as final shop closures announced

Almost 2,500 staff likely to be affected as budget retailer shutters

Helen Cahill
Friday 20 July 2018 00:34
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The latest round of closures will leave just 230 Poundworld branches open
The latest round of closures will leave just 230 Poundworld branches open

Poundworld will disappear from the high street next month after its administrators announced the chain’s final set of store closures.

Deloitte has said all of the retailer’s stores will likely close by 10 August, affecting 2,339 staff.

The budget retailer is also closing its warehouse and distribution network, the Press Association understands, alongside its head office in Normanton, West Yorkshire, leading to the loss of 300 jobs.

Administrators have announced the closure of 145 Poundworld stores already.

Poundworld fell into administration on 11 June, putting more than 5,100 jobs at risk across its 335-store portfolio.

Deloitte has been announcing tranches of store closures over the past two weeks after failing to find a buyer for the whole business.

Clare Boardman, joint administrator at Deloitte, said: “We would like to thank all the employees for their continued support and commitment during this difficult time. We are keeping staff appraised of developments as they happen.”

The administrators are still in talks with some interested parties about selling parts of the remaining business, but hopes of saving a significant number of jobs has faded.

Deloitte has turned down a bid from company founder Chris Edwards, who was looking to save a raft of stores and safeguard around 3,000 jobs.

The founder of rival Poundland, Steven Smith, has also been linked to a bid to salvage part of Poundworld out of administration.

The collapse came amid decreasing footfall, rising costs and weak consumer confidence.

The budget retail chain, formerly owned by TPG Capital, is one of a number of retailers to call in administrators this year, with Toys R Us and Maplin disappearing from UK high streets.

Toys R Us and Maplin collapse into administration

The Gaucho restaurant group also fell into administration earlier this week, with the Cau chain being closed immediately, leading to the loss of 540 jobs.

Press Association

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