Black Country founded discount chain Poundland to open first new store in two years as recovery continues

Poundland has confirmed it is to open its first new store in two years, as it begins the roll out of new general merchandise ranges.

The discount retail chain is returning to Lakeside Shopping Centre in West Thurrock in Essex - opening its first new location since August 2024.

The new store will open in Unit 124 on August 29.

The opening comes as Walsall headquartered Poundland completes its top-to-bottom range re-invention with the launch of an all-new general merchandise offer that is now rolling out to its stores across the UK and Republic of Ireland.

From faux plants to food storage, cutlery to containers, the new ranges bring a fresh new look and lower prices to Poundland’s general merchandise aisles.

The roll-out also includes investment in much deeper seasonal ranges with autumn and Halloween items already rolling out to stores.

The changes seek to return Poundland to a high street destination for big seasonal moments.

The major overhaul also includes a new celebration range for all customers’ party needs with a ‘three for £3’ pick-and-mix-style offer on items such as gift bags, wrapping paper and party favours.

The general merchandise revamp completes a nine-month overhaul of Poundland’s entire customer offer.

At the end of 2025 the business simplified its ranges across its core grocery aisles, slashing prices and restoring its iconic £1 price point to around half of its offer.

It has also brought back customer favourites such as its exclusive £1 Twin Peaks chocolate bar made by an independent chocolatier in Birmingham with a special honeycomb edition planned for the autumn.

Poundland has also continued to invest in new grocery ranges, recently revamping its health and beauty aisles with new travel-size toiletries and other favourite items such as facemasks at significantly better value than other beauty retailers.

There’s also been an overhaul of its pet aisles with new in-house brand Vitagen, as well as its household ranges, bringing in new items such as 5-in1 Glowell laundry pods offering 22 washes for £3 (less than 14p per wash).

At the start of 2026, Poundland turned its attention to its clothing ranges transitioning back to its PEP&CO brand now designed and bought by its in-house team based in Watford.

Nearly all new adult clothing has now reverted to its former PEP&CO branding with 90 per cent of the new PEP&CO clothing ranges below £10 and almost half (45 per cent) below £5, reflecting the same simple pricing philosophy Poundland successfully re-introduced into its grocery aisles.

Almost all former Pepco clothing stock has now been cleared and PEP&CO’s new autumn/winter ranges including coats for £15 and £22 are already landing in stores.

The changes are helping Poundland to make significant progress as its recovery plan takes hold, bosses said.

Over the first nine months of the current FY26 financial year to 30 June 2026 Poundland has delivered a positive gross operating profit - broadly in line with expectations and more than £70m ahead of the same period in FY25.

Poundland managing director Barry Williams said: “Day-by-day and week-by-week we’re getting the Poundland business back-on-track as we turn around the business at pace.

“And the re-launch of our general merchandise offer is a significant moment, completing the wholesale revamp of our entire offer across FMCG, clothing and now homewares.

“Re-building trust with customers takes time, but we’re making very significant progress as we deliver the ranges and price simplicity they demand of us.

“Thanks to the hard work of my colleagues in every store, distribution centre and customer service centre, we’re making the kind of progress many thought was just a pipedream.

“We know how important a thriving Poundland is for high street footfall right across the communities we serve.”

Poundland’s recovery effort has also included removing frozen foods, some chilled ranges and abandoning its online offering.

The chain, which secured approval in August last year from the High Court for its restructuring, ended last year with 651 sites, down from around 800 before its reorganisation.

Its workforce shrank from 14,200 to about 12,000 at the end of 2025. Poundland, which was sold by Pepco Group to American investment firm Gordon Brothers for £1 in June 2025, also closed its Springvale warehouse in Bilston and undertook a reorganisation of its customer service centre in Walsall.

Black Country Poundland founder Steve Smith told the Express & Star how he’d wanted to buy the company back after hearing of its financial woes but his offer was not considered.

Steve and his late dad Keith, both market stallholders, founded the company with fellow former market trader Dave Dodd.

After the runaway success of selling items in a box for 10p in a box on Bilston Market they opened their first store in Burton-on-Trent on December 13 1990, after Keith backed Steve to the tune of £50,000.

Poundland went on to open hundreds of stores across the UK, becoming one of the most popular names on the high street. Like many big name retailers, however, it had to battle against the rise in online shopping and competition from the likes of B&M, Home Bargains, and The Range as well as budget supermarkets - all of which led to last summer’s court authorised restructure to save the brand from collapse.