Tue, 26 Aug 2025

Tue, 26 Aug 2025 Poundland avoids administration as restructure approved

The struggling budget chain was sold to a private equity firm for £1 earlier this year.
Poundland, a budget retailer with around 14,700 employees and over 800 stores, has narrowly avoided collapse after a High Court judge approved its turnaround plan on Tuesday. The company had warned that it would run out of cash by September 7 without the deal being sanctioned. Under the plan, Poundland's new owners will inject £90 million into the business to help stabilise it and focus on growth. This includes £60 million in new funding, in addition to £30 million already invested since June. As part of its restructuring efforts, Poundland has announced plans to close 68 stores, affecting around 1,000 jobs. It will also shut two warehouses and stop selling online, resulting in the loss of 350 warehouse jobs. The company's managing director, Barry Williams, said that while the decision provides an opportunity for growth, he is "extremely mindful" of its consequences for employees. Poundland aims to get back on track by revamping product ranges, lowering prices, and streamlining operations.
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