Poundland will ask the High Court on Thursday morning for more time to secure a rescue deal, as the discount chain fights to avoid administration. Management is seeking a further 10 working days of protection from creditors after its current legal shield expires on Thursday.

The chain's owner, Gordon Brothers, has released a further £9 million from Poundland's accounts, on top of £10 million announced earlier. The BBC understands about £50 million had previously been frozen, leaving managers unable to restock shelves or pay wages and rent ahead of the crucial Christmas trading period. The extra funding is expected to give the company around 10 more days to find a buyer.

MPs accuse owner of extracting millions

MPs on the Commons business and trade committee questioned Gordon Brothers' European head, Mark Newton-Jones, in private for almost two hours on Wednesday. Committee chair Liam Byrne accused the investment firm of extracting millions of pounds from the retailer while it was on a "knife-edge". Gordon Brothers bought Poundland for £1 from Pepco in June 2025 and has been accused of blocking access to cash to force a break-up sale of its 600 stores and stock.

Three takeover bids are on the table, all rejected so far by Gordon Brothers. Xyra Group has offered £12 million upfront, close to £30 million in total, while Martin Property Group is backing a management-led rescue bid that includes the Dealz chain in Ireland. Poundland's co-founder Steve Smith has written to the King in a last-ditch attempt to bring all sides together, and around 12,000 jobs are at stake. If no extension is granted, advisers AlixPartners are lined up to handle the collapse. The Times reported the owners' backing for a two-week pause, and The Guardian reported the MPs' accusations against Gordon Brothers.