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Poundworld to axe 531 jobs as 40 more stores set to close

Poundworld fell into administration in last month, putting 5,100 jobs at risk.

Administrators to Poundworld are to close a further 40 stores and axe 531 jobs as the retailer moves one step closer to disappearing from the high street.

Poundworld, which employed around 5,100 people at its peak, collapsed last month, but administrators Deloitte have been unable to find a buyer for the retail chain.

Deloitte assured that discussions with interested parties for the potential sale of “part, or parts of the remaining business” were still ongoing.

The affected stores will close on Tuesday, July 24.

Joint administrator Clare Boardman said: “We would like to thank all the employees for their continued support and commitment during this difficult time.

“We are keeping staff appraised of developments as they happen.”

Earlier this month, Deloitte announced that 105 stores would shut, impacting around 1,200 jobs.

The latest store closures come as hopes for a rescue of the beleaguered retailer fade.

Deloitte has turned down a bid for Poundworld from its founder, Chris Edwards, who was looking to save a raft of stores and safeguard around 3,000 jobs.

Mr Edwards, who founded Poundworld in 1974, was critical of how his offer was received by Deloitte, and said he was “shocked and surprised” that he was turned away.

The founder of rival Poundland, Steven Smith, has also been linked to a bid to salvage part of Poundworld out of administration.

Deloitte has also made 100 people redundant at Poundworld’s head office in Normanton, West Yorkshire.

Poundworld’s collapse came amid falling footfall, rising costs and weak consumer confidence.

The budget retail chain, formerly owned by TPG Capital, is one of a number of retailers to call in administrators this year, with both Toys R Us and Maplin disappearing from UK high streets.

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