No more shop closures for Black Country discount retailer Poundland - but turnaround work continues
Black Country discount retailer Poundland has said its sweeping restructure that saw it shut nearly 150 shops and axe 2,200 jobs has finished.
But the company added that there was still has "much to do" to get back on track.
The Walsall-based chain, which secured approval in August from the High Court for its restructuring plan, confirmed it ended the year with 651 sites, down from around 800 before the reorganisation.
Its workforce shrank from 14,200 to about 12,000 at the end of 2025 under the revamp which also saw its Springvale warehouse in Bilston tabled for closure along with a second site in South Yorkshire.
It also undertook a reorganisation of its customer service centre in Walsall. In an update published today, Poundland said the large-scale shop closures were over.
"Any future closures will be a consequence of standard business-as-usual lease events expected at a retailer with a large store network," the statement added.
Figures for Christmas trading showed like-for-like underlying sales dropped 2.9 per cent in the quarter to December 28 as it slashed prices to get back to its discount roots but it said comparable store sales by volume lifted two per cent.
Underlying earnings in its first quarter rose £8.4 million to £17.3 million, in line with its expectations.
Managing director Barry Williams said: "While there's been significant progress as we refocus and re-energise the business with lower prices and a sharper offer, we know we still have much to do.
"Our focus on our costs has, without doubt, given us a platform for future growth but no sustainable turnaround can be based on cost management alone.
"That's why our focus in 2026 will be on delivering the kind of ranges and price simplicity our customers want right across the store."
Poundland was sold for £1 to investment firm Gordon Brothers in June last year.
It avoided entering administration after a restructuring plan was approved in the High Court two months later, just days before the company was due to run out of money.
Recovery efforts since have focused on simplifying the business which has included cutting stores and overhauling its pricing structure.
It has also removed some categories such as frozen foods, some chilled ranges and abandoning its online offering.
It is returning to a simple £1, £2 and £3 grocery pricing across all its UK shops, with around 60 per cent of grocery items priced at £1.
The group is relaunching in-house designed Pep&Co clothing to its UK and Ireland stores, with 90 per cent of items priced below £10 to be available from next week.It is also launching a nationwide ad campaign "to highlight the everyday value" of ranges.
