Usdaw warns Poundland could enter administration as sale talks continue

Retail trade union Usdaw has warned that Poundland could enter administration, raising concerns for thousands of jobs as owner Gordon Brothers continues to seek a buyer for the discount retailer.

In a statement, the organisation said it had repeatedly sought urgent talks with Gordon Brothers following reports that Poundland was being put up for sale, but had been unable to secure engagement from the owner.

Bally Auluk, national officer at Usdaw, said the union understood a decision on the retailer’s future could be made imminently, adding that a management buyout had been attempted, but that offers were reportedly being rejected.

The warning follows reports in September that Gordon Brothers had launched a formal sale process, with advisers Alvarez & Marsal approaching prospective buyers and a potential transaction targeted before the Christmas trading period.

Gordon Brothers acquired Poundland from Pepco Group for one euro in July 2025, after which a restructuring led to around 200 store closures. The retailer now operates approximately 600 UK stores and employs around 12,000 people.

Despite the uncertainty, Poundland has recently reported a return to like-for-like sales growth, according to Usdaw. The retailer has also brought its Pep&Co clothing operation back in-house and refreshed its fashion offer, including womenswear, expanded sizing and children’s ranges.

Usdaw has called on Gordon Brothers to clarify its plans and engage with the union over the future of the business and its employees.