Poundland Sold for Just £1 – 100 Stores Could Shut as Rescue Mission Begins

• Poundland sold to investment firm for £1 in urgent rescue deal
• Up to 100 shops at risk of closure, with thousands of jobs on the line
• Gordon Brothers to inject £80m into the struggling discount retailer
• Tom Church: “Poundland’s fate shows even discount giants aren’t immune – shoppers are changing fast”

Britain’s most iconic budget store has been sold for just £1 – and now up to 100 stores could vanish from the high street.

Poundland, the discount chain beloved by millions for its ultra-cheap deals, has been snapped up by Gordon Brothers, the same US firm that rescued Laura Ashley, in a dramatic bid to keep the business afloat. The nominal price tag signals just how dire the financial situation had become.

The new owner has pledged up to £80million in funding, but warned a major restructuring is coming. Around 800 stores operate under the Poundland banner, and insiders suggest up to one in eight could close. Thousands of jobs now hang in the balance.

Emily Mee and Jonathan Rose reported in The Sun that the business was quietly shopped around earlier this year, with retail rivals including Homebase parent Hilco rumoured to have sniffed around before walking away.

Chief executive Barry Williams admitted the company had faced "challenging" trading conditions and was "refocusing on core strengths" as part of its turnaround blueprint. “We aim to deliver the amazing value our customers expect,” he said, adding that more details would follow.

The warning signs were already flashing. Sales dropped 6.5% in the past six months, and revenues dipped to £830million. A string of store closures has already begun – with branches in Surrey Quays, Barrow, Bristol and Flint all set to shut in June alone.

Gordon Brothers, no stranger to reviving retail casualties, previously helped steer Toys ‘R’ Us and Laura Ashley out of administration. But with rising theft, soaring costs and stiff competition from rivals like B&M and Home Bargains, its work is clearly cut out.

Tom Church, Co-Founder of LatestDeals.co.uk the discount code platform said, "Poundland’s fate shows even discount giants aren’t immune – shoppers are changing fast, and retailers have to evolve quickly. It’s a stark reminder the Government needs to reform business rates and commercial property taxes to turn our High Streets from a graveyard back into a thriving hub for towns."