Over 100 jobs at ten Poundworld stores in Northern Ireland are at risk after the high street retailer announced it is to enter administration.
The discount retailer employs over 5,000 people across the UK.
Poundworld also trades under the ‘Bargain Buys’ name.
Administrators Deloitte says the stores will continue to trade as normal with no redundancies at present.
It said in a statement: “Like many high street retailers, Poundworld has suffered from high product cost inflation, decreasing footfall, weaker consumer confidence and an increasingly competitive discount retail market.”
Clare Boardman, joint administrator at Deloitte, said the retail trading environment in the UK remains extremely challenging and Poundworld has been seeking to address this through a restructure of its business.
“Unfortunately, this has not been possible,” she said
Ms Boardman said Deloitte believed a buyer could be found for the business, or at least part of it.
A spokesperson for Poundworld”s owner, TPG said filing for administration had been ‘a difficult decision.’
“Despite investing resources to strengthen the business, the decline in UK retail and changing consumer behaviour affected Poundworld significantly,” the spokesperson added.
Last week, House of Fraser said it was set to close 31 of its 59 shops, citing the need to adapt to ‘fundamental change’ in the retail industry.
Electronics chain Maplin and toy store Toys ‘R’ Us both went into administration earlier this year.
Other chain retailer such as Mothercare and Carpetright have been forced to close stores to keep the brands afloat.
Poundworld’s losses grew in 2016-17 to £17.1 million, from £5.4 million of losses the year before.
