Wilko stores face closure due to rescue failure

Wilko collapsed earlier this month, putting thousands of jobs at risk. Photo: Matthew Horwood/Getty Images

Most Wilko stores are closed to close after rescue efforts failed.

On Wednesday night, PwC administrators briefed unions on impending store closures and job cuts, saying efforts to find a buyer for the business were unsuccessful.

n>

GMB, which represents more than 4,000 Wilko employees, said it was told there was no longer any prospect of saving the business, which collapsed earlier this month.

The union expects layoffs to begin this week. in 400 Wilko stores and its call centers. There are approximately 12,000 employees in the UK.

Jane Steer, Zelf Hussain and Edward Williams of PwC, administrators of Wilko, said in a joint statement: “While discussions are ongoing with those interested in buying parts of the business, it is clear that the nature of this interest is not centered on the entire group.

“Unfortunately, therefore, it is likely that there will be layoffs and store closures in the future, and it was necessary to inform employee representatives today.

“We will support staff through this very worrying time, we must work closely with the government, JobCentre plus, unions and major employers to maximize opportunities for employees to quickly return to work in the event of layoffs.”

The prospect of a buyer for some individual stores or groups of stores still exists.

However, PwC's announcement effectively ended any hope of rescuing the business as a trading entity.

GMB National Secretary Andy Prendergast said: “The GMB will continue to support its members in this process and will fight to ensure that members are consulted in accordance with the law and that you receive every penny you are entitled to.

that Wilko's bosses be held accountable for the simple reason that our members deserve so much better.»

Wilko entered administration earlier this month after struggling with debt.

It is reported that B&M, Poundland, The Range and Home Bargains were all interested in at least some of the business.

Wilko struggled during the pandemic, suffering severe supply issues that left the company in dire straits. to have enough stock.

The family chain was founded by James Kemsey Wilkinson in Leicester in 1930.