Poundland's American owners are set to give evidence to MPs in private next week as talks continue over the future of the discount chain and the jobs of around 11,000 workers.

Liam Byrne, chairman of Parliament's business committee, called this week on bosses at Gordon Brothers — which bought Poundland for £1 last year — to face questioning over their stewardship of the business.

Sky News reported on Friday that the US investment firm sought to have the evidence session held behind closed doors to avoid it becoming "a show trial". Mr Byrne confirmed the committee will permit a private session in "the first instance" after assurances on Thursday that Gordon Brothers is holding talks to seek a sale deal that could preserve jobs.

Active talks with buyers

"Since we asked Gordon Brothers to appear before Parliament, we've been in daily contact and we understand they are now in active talks with several credible buyers about selling Poundland as a going concern," Mr Byrne said. "Parliament must know that every step possible is being taken to save the business."

The future of Poundland's 600 stores and roughly 11,000 workers remains in the balance. The group filed a notice of intention to appoint administrators last week, giving the owners 10 days of breathing room from creditors to strike a rescue deal. Gordon Brothers has received takeover offers from Martin Property Group and Xyra Holdings, plus offers for parts of the business from Tesco, Poundstretcher and B&M.

On Thursday the US owner said the chain remains "challenged and vulnerable" and is seeking to "protect as many jobs as possible". Founder Steven Smith, who opened the first Poundland in 1990, warned that 20,000 to 30,000 jobs could be lost across the wider high street if the chain goes.