Poundland to make big change to clothing ranges ahead of huge store shake-up including 68 closures

POUNDLAND is planning to make a big change to its clothing ranges as it carries out a huge shake-up in stores.

The discount retailer will start developing its clothing range in-house again – meaning there will be a bigger womenswear selection and more seasonal clothing.

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Major changes are being brought in at Poundland after it was bought for a nominal £1 fee in June by US investment firm Gordon Brothers.

The firm has since announced huge restructuring plans that will see 68 stores close.

A spokesperson told Drapers the business previously operated a “successful clothing business” managed by an internal team before it started sourcing through its previous owner Pepco.

“We intend to revert to that model after restructuring, with clothing ranges developed in-house for the UK and Ireland markets,” the spokesperson said.

The deal struck between Gordon Brothers and Pepco has meant £80million of financing will be pumped into the business.

However the restructuring will need to first be approved by the High Court.

The new owner has proposed:

• Closing 68 stores and negotiating rent reductions at a number of other locations
• Getting rid of frozen food products at all stores where they’re currently sold
• Reducing the number of chilled food items sold
• Closing Poundland’s frozen and digital distribution centre in Darton, South Yorkshire, later this year
• Closing its national distribution centre in Bilston, West Midlands, in early 2026
• No longer selling products on its website
  Providing more womenswear and seasonal ranges

Poundland currently employs about 16,000 people across 792 stores in the UK and Ireland.

A further 70 closures could be possible on top of the 68 already planned due to rent negotiations and lease expirations.

By the end of the restructuring, it’s expected Poundland will have roughly 650 to 700 locations left.

A total of 37 shops are set to close this month, starting on August 10.

In the run-up to the closures the retailer is selling hundreds of items for just 10p.

It’s offering shoppers some major bargains on toiletries, kids’ toys and pet products in a giant clearance sale.

Shoppers can buy party banners for 10p, plus Union Jack handheld flags and a mock Valentine’s Day engagement ring for 25p.

Savers can also get a 12-pack of plastic tumblers for 50p, a bridesmaid paper sash for 80p and a kids bonnet for 75p.

What happened at Poundland?

Polish owner Pepco put Poundland up for sale in March as it looked to offload the brand.

It had reported weak Poundland sales over the previous six months and cut the brand’s trading guidance for the year as a result.

The retailer’s revenues dropped by 6.5% to £830million for the six months to March compared with a year earlier.

The brand suffered “challenges across all categories” and had 18 net store closures over the period.

Pepco had blamed “highly challenging trading conditions” for the fall in sales.