TGJones, the retailer formerly known as WHSmith on the High Street, has announced plans to potentially close up to 150 stores across the UK, putting hundreds of jobs at risk. The company, owned by Modella Capital, cited “highly challenging trading conditions” over the past year, driven by weak consumer spending, cost-of-living pressures, and rising operating costs linked to government policy and geopolitical events.
A spokesperson for TGJones stated that the forced rebranding from WHSmith had negatively impacted consumer awareness, despite improvements in the proposition. The company emphasised that survival of the 234-year-old business is imperative, and no final decisions have been made on store closures or job losses. Any changes would be subject to consultation, with a commitment to preserving as many roles as possible.
Insolvency specialist Molly Monks of Parker Walsh warned that the retail crisis is “far from over,” noting that the cost-of-living crisis has accelerated store closures that might otherwise have been delayed. Monks highlighted that discretionary spending has collapsed, footfall outside major city centres remains below pre-pandemic levels, and business rates continue to penalise physical retailers compared to online competitors.
Monks added that wage bill increases from the new National Living Wage and higher employer National Insurance have been the “final blow” for many retailers. Modella Capital, which also owned The Original Factory Shop and Claire's Accessories, has seen both chains close all branches, underscoring the broader challenges facing the sector.
