Budget chain Poundland is reportedly just days away from a total collapse, with thousands of jobs at risk as the retailer faces potential closure of its stores across the UK.
The news comes as a trio of board members prepare to quit after major disagreements with the company's owner, Gordon Brothers, about how to move forward. Insiders claim some on the board have been trying to agree a buyout offer from another firm, leaving the company split about the future of the popular store.
Board dispute over solvent offer
Sources told Sky News that the main dispute centres on the group not accepting a "solvent offer from Martin Property Group," and board members are now considering walking away as an agreement cannot be reached.
The development follows reports that the government was "on alert" over the risk of thousands of job losses at Poundland after being told about the difficulties. Downing Street was made aware of concerns after the discounter owner made an unexpected decision to put the chain up for sale, amid fears about the economy just before Christmas.
Union and buyer interest
The Union of Shop, Distributive and Allied Workers (Usdaw) has also expressed concerns over Poundland's administration risk. Bally Auluk, Usdaw national officer, said earlier this month: "We found it difficult to understand why Poundland was being described as struggling, after the company recently announced they had returned to like-for-like sales growth and staff were being thanked for their 'amazing efforts.'"
Reports suggest that a number of major retail brands have expressed interest in buying parts of Poundland, including B&M, The Range and Poundstretcher, which are understood to be interested in taking over some locations.
Scale of the business
A spokesperson for Gordon Brothers told Sky: "As well as interest from buyers for the whole business, the sale process has also surfaced a number of formal and indicative offers for significant viable parts of the business from established retail operators. These options will now be objectively evaluated, with a view to minimising uncertainty for Poundland's people and all relevant stakeholders."
Poundland has over 600 stores and employs 12,000 people. The chain was bought last year for just £1 but previously had 800 sites, and it has closed more than 100 locations since June 2025. Earlier this year, Claire's Accessories collapsed into administration, closing all 154 of its standalone sites in April.
