Closing down: Five major High Street retailers with outlets in Shropshire who have cut jobs this year

But the Wilenhall-based discount retailer is not the only major High Street name to fall on harder times in the past twelve months, with several well-known names also looking to make cuts in the face of significant headwinds for major retailers.

Poundland

Poundland's announcement that around 2,000 store workers could be at risk of redundancy came after the company was sold off by owners PepCo to specialist investor Gordon Brothers for a “nominal sum”. 

Poundland’s restructuring plan and broader recovery plan is expected to result in the closure of 68 stores and two distribution centres.

The company confirmed it has earmarked its Bilston Distribution Centre for closure in early 2026 with delivery volumes absorbed by existing distribution centres in Wigan and Harlow.

The restructuring process will also see Poundland withdraw from the retail sale of frozen food in stores where it’s currently offered. It is also reducing its chilled food offer which in future will be anchored around its £3 meal deal and other essentials such as milk.

Barry Williams, managing director of Poundland, said: “It’s no secret that we have much work to do to get Poundland back on track.

“While Poundland remains a strong brand, serving 20m-plus shoppers each year, our performance for a significant period has fallen short of our high standards and action is needed to enable the business to return to growth.

“It’s sincerely regrettable that this plan includes the closure of stores and distribution centres, but it’s necessary if we’re to achieve our goal of securing the future of thousands of jobs and hundreds of stores.

“It goes without saying that if our plans are approved, we will do all we can to support colleagues who will be directly affected by the changes.”

Hobbycraft

Arts and crafts retailer Hobbycraft announced in April it was set to close nine stores as part of plans to overhaul its retail operation, putting around 120 staff at risk of redundancy.

The announcement followed the sale of the business to investment group Modella Capital in August last year.

However the firm's outlet in Telford, along with nearby stores in Wolverhampton, Brierley Hill and Stafford, are set to escape the axe for now, according to owners Modella Capital.

Hobbycraft said nine stores will cease trading by mid-July, affecting between 72 and 126 jobs. An undisclosed number of jobs will also be cut at its Bournemouth head office and distribution centre in Burton-on-Trent.

Hobbycraft chief executive officer Alex Wilson said: “For many our stores are more than just arts and crafts supplies – they have become places for gaining crafting ideas and inspiration.

“Very sadly, the strength of our offering has not made us immune from the challenges faced by the retail sector in recent years.

“Closing stores is always a last resort and this has been an extremely difficult decision.

“Making these changes is sadly a necessary action to enable us to keep our doors open to crafters up and down the country.”

The Original Factory Shop

Another firm snapped up by Modella Capital, The Original Factory Shop (TOFS) has reportedly drawn up measures to renegotiate rents at 88 of the company's 178 stores as part of a restructuring process.

The move is expected to put around 1,000 jobs at risk.

No stores have been officially identified for closure as part of the scheme, and the company operates outlets in Bridgnorth, Whitchurch and Market Drayton.

However the company's branch of the Original Factory Shop was put up for sale in May, less than two months after the firm's new owners announced the restructuring plan.

However a statement from the company said negotiations were still ongoing regarding the future of all of its stores.

"The Original Factory Shop (TOFS) recently confirmed that as part of a restructuring a number of its loss making stores will have to close," said a spokesperson.

"Closing stores is always a tough decision, and we are committed to keeping as many stores open as possible. This is, however, dependent on successful negotiations with landlords as we strive to build a sustainable and successful business for the future.

“We have already announced that two stores will close. Additionally, a small number of other stores are currently under review, with their continued operation subject to ongoing negotiations with landlords. These negotiations are commercially sensitive and so we cannot comment on which stores are affected.”

Homebase

A total of 49 stores closed down when the DIY giant went into administration in November last year, despite a rescue deal which secured the majority of the firm's estate.

Around 2,000 jobs were lost as a result of the closures, which saw Telford customers wave goodbye to the company's store on Wrekin Retail Park in Wellington.

The significant amount of retail space made available by the partial collapse of the company has been a boon to other firms however - with B&M, Marks & Spencer and even Ikea set to open new stores in former Homebase outlets.

A B&M store now occupies the former Homebase in Telford.

Speaking in November, Damian McGloughlin, chief executive of Homebase, said the last three years had been “incredibly challenging” for DIY stores, blaming “a decline in consumer confidence and spending” after the Covid pandemic.

“Against this backdrop, we have taken many and wide-ranging actions to improve trading performance including restructuring the business and seeking fresh investment.

“These efforts have not been successful and today we have made the difficult decision to appoint administrators.”

Currys

Electricals retailer Currys, which has major stores in Telford and Shrewsbury, said last month it was planning to cut around 80 head office roles as it looks to trim costs across the business. 

No redundancies are expected in stores as part of the plan, but the firm said it was entering a period of "depressed hiring" due to changes to employers' national insurance, and planned to bring in more automation.

A Currys spokesperson told trade magazine the Retail Gazette: “Currys is winning in a challenging market, and our performance continues to strengthen. But in an environment where we have new Government headwinds of over £30m this year, we need to work hard to continue to maintain this success.

“As a result, we have made the difficult decision to reduce our central costs in the UK by 10 per cent this financial year, and while we’re committed to protecting our investments in stores and online which are increasing customer satisfaction, this will affect a number of non-customer facing roles in the business. We are working to support those colleagues affected.”

The closures come as a report published earlier this year from insolvency specialists Begbies Traynor showed the proportion of general retail businesses classed as being in “critical” financial distress showed a 29 per cent quarterly increase, rising to 1,457 from 1,127 in the third quarter.

Overall, a total of 28,747 retail businesses in the UK are facing “significant” financial distress, down on the 34,494 in the same quarter last year, the report found.

"Clearly, some retailers have found ways to manage financial pressures effectively, but others, particularly in general retail, are struggling under the weight of rising operational costs and squeezed consumer spending," said Julie Palmer, a partner at Begbies Traynor.