Poundland Avoids Collapsing Into Administration But Will Still Close 12 More Stores – ryan

Cheap as chips chain poundland given High Court Approval for Radical Overhaul That Will Involve Large Scale Job Losses

13:58, 26 Aug 2025Updated 15:51, 26 Aug 2025

Large Scale Job Losses at Poundland Are Expect
Large Scale Job Losses at Poundland Are Expect (Image: Joseph Raynor/ Nottingham Post)

Poundland has avoided collapse after a rescue deal was approved by the High Court Today.

The Bargain Chain Had Asked A High Court Judge for the Go-Ahead for an Overhaul That Will Involve Rents Being Slashed and the Clips of Doses of Stories and Distribution Center.

The firm clalimed that with the Approval, Poundland Could Run Out of Cash and Be Forced Into Administration by Friday This Week.

Instead, the Green Light for the Plan Will Release Up to £ 60million of New Funding to be ineCted to keep the retailer Afloat.

Approving the Restructure, Sir Alastair Norris Said: “I am going to the plan the plan. I will give my reasons late.”

Poundland has already laid out plans to Close 68 Branches, with 11 Branches to Pull Down the Shutters for Good this Coming Sunday, and another store to Close in Early September.

Private Owner Equity Firm Gordon Brother, Which Bought The Stroughgling Chain from Pepco Group for £ 1 in June, Has Vowed to Pump £ 90million in Total Into Business in Return.

Nearly 70 Stoles Are Set to Close and Rents Slashed on Others UNDER A SHAKE-UP BY Poundland's New Owner
Nearly 70 Stoles Are Set to Close and Rents Slashed on Others UNDER A SHAKE-UP BY Poundland’s New Owner

Poundland Managing Director Barry Williams Said: “Today’s Decision is vitally important for poundland, allowing us to stabilise the business, Securing the Future of Nundreds of Stories and Thousands of Jobs. We’d like to say the court, and the engagement of our credits, throughout this process.

“Despite the opportunity this rolling provides, i’m extramely Mindful of its consequens for our Colleagues – especilly those leaving us as we streamline Store Estate, Distribution Network and Support Teams. WE ACKNOWLEDGE the direct impact we had have ha re-confirm out commitment to do all we can to support.

“Nevertheless, Our Wider ATTENTION MUST NOW TURN TO GETTING Poundland Back to growth.

Poundland’s Barrier Had previously Told the High Court that if the restructure was not approved, its directors would be inserted by friday this week, we a loan to pepco is due to be repaid.

In Written submissions for the Hearing in London, Tom Smith Kc Said That The Retailler’s Financial Position Had “Significantly Deteriorated During the Last Two Years” and that it has “performed poorly in a difficult retail and economic Environment”.

He Said: “The Latest Liquidity Forecast Shows that the Group Will Run Out of Cash in the Week Ending September 7 2025.”

Poundland, Founded in Burton Upon Trent, Staffordshire, in 1990, Has Approximately 14,700 Staff Members and Operates ARUND 800 Stories.

MR SMITH SAID A “Very Significant Amount of New Money” WOULD BE INJECTED INTO The Company Through the Plan. He Said: “The plan Will Release a Further £ 60million of Funding, and that is in Addition to the £ 30 million that has already gone in following the purchas that tok place on june 12. SO, in effect, if you adderything up, gordon brothers is putting in £ 90million.”

As well as the store closes, which would put around 1,000 Jobs at risk, poundland also said it iss its frozen and digital distribution at Darton, South Yorkshire, Later this Year and another warehouse at spingvale in bilston, west midlands, early next nex.

A Further 350 People will be affected by the warehouse closes, which are linked to the company’s plan to stop online sales through its poundland.co.uk website.

Poundland First appeared at the High Court in July at what is is a “convent Hearing”, where barristters asked for a Judge’s permission to convene “plantings” of its credits to vote on the restructuring plan. Following the Meetings Earlier This Month, Barristers Are Now Asking a Judge to Rubber-Stamp the plans at what is a “sanctioning hearing”.

It came as poundland confirmed the locations of a storm 12 storys that will Close Under its restructuring and Recovery Plan, Including 11 This Sunday.

Poundland Clives This Week

  • Blackburn
  • Cookstown, Northern Ireland
  • Erdington, Birmingham
  • Kimberley, Nottingham
  • Horsham, Sussex
  • Hull
  • Kettering, Northants
  • Omagh, Northern Ireland
  • Shepherds Bush, London
  • Southport, Merseyside
  • Taunton, somersset

Poundland Also Announched Its Store in Irvine, Scotland, Will Shut on September 14.

The Following Storys Have Already Closed:

  • Ammanford, Wales
  • Birmingham Fort Shopping Park, West Midlands
  • Cardiff, Wales
  • Cramlington, Northumberland
  • Leicester, Leicestershire
  • Long eaton, Nottinghamshire
  • Port Glasgow, Scotland
  • Seaham, Durham County
  • Shrewsbury, Shropshire
  • Tunbridge Wells, Kent
  • Bedford, Bedfordshire
  • Bidston Moss, Merseyside
  • Broxburn, scotland
  • Craigavon, Northern Ireland
  • Dartmouth, Devon
  • East Dulwich, Greater London
  • Falmouth, Cornwall
  • Hull St andrew Retail Park, East Yorkshire
  • Newtownabbey, Northern Ireland
  • Perth, Scotland
  • Poole, Dorset
  • Sunderland Pallion Retail Park, Tyne and Wear
  • Stafford, Staffordshire
  • Thornaby, North Yorkshire
  • Worcester, worcestershire
  • Brigg, North Lincolnshire
  • Canterbury, Kent
  • Coventry Hertford Street, West Midlands
  • Newcastle Killingworth Center, Tyne and Wear
  • Kings Heath, West Midlands
  • Peterborough Orton Gate Shopping Center, Cambridgeshire
  • Peterlee, County Durham
  • Rainham, Kent
  • Salford, Greater Manchester
  • Sheldon, West Midlands
  • Wells, somersset
  • Whitechapel, Greater London
  • Swiss Cottage, Greater London
  • Southampton West Quay, Hampshire
  • Chiswick, Greater London

Poundland Said It Will Shut Down 16 More Storys But Has Not Yet Identified Their Locations. It is underestood that the close dates for these likes to be announched late in the year, we Store workers will be informed.