Poundland confirms plans to shutter 150 stores
It also confirmed plans to cease online sales and withdraw the sales of frozen food, whilst reducing its chilled food offer
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Poundland has confirmed that up to 150 stores and two distribution centres are set to close under a new restructuring plan, subject to court approval.
Following Poundland’s acquisition by Gordon Brothers last week, an initial 68 stores will close, and along with rent reduction plans, its estate will eventually fall to 650-700 stores, down from around 800 today.
The retailer also confirmed plans to cease online sales and withdraw the sales of frozen food, whilst reducing its chilled food offer, which will in future be anchored around its £3 meal deal and other essentials such as milk.
As well as scaling back its digital presence, converting Poundland.co.uk from a transactional website to a brand website, the retailer also confirmed plans to end its Perks loyalty app, which was rolled out across the UK last year.
Meanwhile, Poundland’s frozen and digital distribution centre at Darton, South Yorkshire, is set to close later this year, followed by the closure of its national distribution centre at Springvale in Bilston, West Midlands, in early 2026.
The retailer noted that impacted creditors have been contacted to inform them of the plan and the court timetable is expected to conclude in late summer. The court-sanctioned process applies to creditors in the UK and does not cover Poundland’s operations in the Republic of Ireland and Isle of Man.
Poundland managing director Barry Williams said: “It’s no secret that we have much work to do to get Poundland back on track. While Poundland remains a strong brand, serving 20 million-plus shoppers each year, our performance for a significant period has fallen short of our high standards and action is needed to enable the business to return to growth.
“It’s sincerely regrettable that this plan includes the closure of stores and distribution centres, but it’s necessary if we’re to achieve our goal of securing the future of thousands of jobs and hundreds of stores. It goes without saying that if our plans are approved, we will do all we can to support colleagues who will be directly affected by the changes.”
