Poundland Faces Imminent Cash Crisis with 68 Stores at Risk

Poundland, a UK-based discount retailer with around 800 stores and 14,700 employees, is facing imminent financial collapse and will run out of money by September 7, 2025, unless a court-approved restructuring plan is implemented. The retailer has proposed a rescue plan that includes closing 68 stores, ceasing online sales, and shutting down two distribution centers, which would collectively put approximately 1,350 jobs at risk. The plan also involves significant financial support from private equity firm Gordon Brothers, which has already invested £30 million and plans to inject an additional £60 million, totaling £90 million in new funding. Poundland's financial difficulties have been attributed to poor performance amid a challenging retail and economic environment over the past two years. If the restructuring plan is not approved, the company's directors intend to place Poundland into administration as early as Friday following the hearing. The High Court is set to decide on the approval of this plan, which is seen as critical to preventing the retailer's collapse.