Poundland announces closure of 68 shops amid drastic restructuring

In the United Kingdom, the budget retailer Poundland has announced plans to shut down 68 of its stores and two warehouses as part of a restructuring effort following its takeover by investment firm Gordon Brothers. The decision comes after the company has experienced a significant downturn in trading over recent years, prompting the previous owner, Pepco Group, to sell the chain for just £1. The restructuring includes a request for court approval to implement changes aimed at maintaining financial viability while minimizing operational losses. The current store count of Poundland stands at about 800 locations across the UK and Ireland, but the retailer assures that operations in Ireland will remain unaffected by the closures. The closure plan not only involves shops but also affects key distribution centers, with the frozen and digital distribution site located in Darton, South Yorkshire, set to close later this year along with another warehouse at Springvale in Bilston, West Midlands, which is expected to cease operations in early 2026. The restructuring will impact roughly 350 employees due to warehouse closures, while the exact number of store employees at risk remains undisclosed. Additionally, Poundland has confirmed that it will stop the sale of frozen food products in stores where they are currently offered and will reduce its chilled food offerings in the future. These actions reflect the ongoing challenges faced by the discount retailer, which now seeks to streamline its operations in light of adequate financial performance, complying with pressures in the retail market, and adapting to changing consumer habits.