Glasgow North East MP Maureen Burke has written to Business Secretary Jonathan Reynolds urging the Government to help protect Poundland jobs, after the retailer's US owner Gordon Brothers rejected a rescue bid and moved towards administration.
Poundland filed a notice of intent to appoint administrators at the High Court on Thursday, after Gordon Brothers turned down an offer from Martin Property Group to buy the chain as a going concern. Around 12,000 jobs are now at risk, including staff at the Glasgow Fort store in Easterhouse.
Maureen Burke: 'Entirely unacceptable'
In her letter, Maureen Burke said constituents who work for Poundland had told her of their worry about the way Gordon Brothers had conducted itself, including by failing to engage with the recognised trade union, Usdaw. She noted that the firm bought Poundland for a nominal £1 in June 2025 and, as Usdaw suggests, now appears to be seeking to extract £30 million from the business by breaking it up.
"The business has had its challenges, but the company's performance is improving. The offer from the Martin Property Group proves that the business has a future, and it would be entirely unacceptable to see the high-street staple disappear and thousands of jobs lost while Gordon Brothers profits from the breakup," she wrote.
She added that for her constituents Poundland can be a lifeline, with lower-cost household essentials helping already stretched wages go further. She welcomed the Business Secretary's own letter to Poundland's owners and asked him to press Gordon Brothers to engage with Usdaw so that every option is explored.
Andy Burnham: 'We want to see jobs protected'
Prime Minister Andy Burnham has demanded to know why the rescue deal was turned down. "This is a deeply worrying time for Poundland staff and their families," he said. "We want to see jobs protected. If there was a potential owner to avoid this that hasn't been accepted, then the business secretary and I want to know why that is the case. We stand ready to support the workforce however we can."
Usdaw thanked the Prime Minister for his support, saying it was unacceptable that the owners had rejected an offer that would have protected the livelihoods of 11,000 people and urging Gordon Brothers to prioritise a unified buyer.
Liam Byrne, who chairs the Commons business committee, has called for an urgent investigation, pointing to the resignation of three restructuring directors after just two weeks and reports that the owners are seeking full repayment of a £30 million shareholder loan. "Accountability must come before the damage is done, not after workers have lost their livelihoods and the shutters have come down," he said.
