Andy Burnham's government 'on alert' as huge High Street chain on edge of collapse
A huge 12,000 jobs are at risk of being lost with the disappearance of a high street chain. Budget store Poundland is close to collapse and the UK Government has been made aware of the danger. The discount store is said to be days away from shutting for good after a number of board members are set to quit as the bosses continue to row about the best way forward. Insiders claim some on the board have been trying to agree on a buyout offer from another firm, with others at loggerheads about the future of the popular store.
Sources told Sky News that the main dispute is centred around the group not accepting a “solvent offer from Martin Property Group” and are now thinking of walking away from the board as an agreement cannot be reached. It comes just days after The Telegraph revealed the government was “on alert” over the risk of thousands of job losses at Poundland after being told about the difficulties they were in. Downing Street was made aware of concerns the chain was put up for sale, amid fears about the economy just before Christmas .
Left out here: Leaves out what changes the picture
The article never says that the directors about to quit had objected to what appeared to be attempts by the majority owner, Gordon Brothers, to manoeuvre Poundland towards an insolvency process. The Star calls it bosses rowing "about the best way forward" and quotes a Gordon Brothers spokesperson promising to minimise uncertainty for staff. A reader comes away believing the threat comes from boardroom indecision, not from a dispute with the owner over insolvency.
How we know
- Daily Express reported“the trio had expressed disquiet at what appeared to be attempts by Gordon Brothers to manoeuvre Poundland towards an insolvency process”Poundland 'faces risk of collapsing within days' in major blow to Andy Burnham (opens in a new tab)
- Daily Express reported“the three directors appointed on 15 October are expected to resign after a disagreement with Poundland's majority owner, Gordon Brothers”Poundland 'faces risk of collapsing within days' in major blow to Andy Burnham (opens in a new tab)
The chain was bought by Gordon Brothers for £1 last year, with managing directors stating the business was on track after the buyout. Should Poundland close, it would be one of the biggest casualties on the high street in recent times and place over 12,000 jobs at risk. Reports have suggested 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.
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.
They were bought last year for just £1 but before this had 800 sites. It has closed more than 100 locations since June 2025.
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