Poundland Rescued by £60m Deal, Plans 84 UK Store Closures

Poundland, the UK-based discount retailer employing around 14,700 people across 800 stores, narrowly avoided administration after the High Court approved a major restructuring plan that includes a rescue package of up to £60 million, a new £30 million overdraft facility, and extended loan repayment deadlines. Despite this lifeline, the company plans to close a total of 84 stores, including locations across Scotland, Northern Ireland, London, Yorkshire, and other parts of the UK, along with the closure of its online store and customer loyalty app by mid-September. Additionally, two distribution centers—one in South Yorkshire and another in the West Midlands—are set to close by early 2026, potentially affecting around 350 jobs. The restructuring deal, sanctioned just days before the company was due to run out of cash, also includes reduced rents on less profitable stores to stabilize the business. Poundland, which was sold for £1 to US investment firm Gordon Brothers earlier this year, has seen ongoing challenges due to a tough retail environment and has been closing dozens of stores in recent months as part of the turnaround plan. Company management emphasized that the court ruling is vital to securing the future of many stores and jobs, even as the business phases out its online delivery service.