Budget retailer Poundworld with stores in Peterborough and Wisbech goes into administration

Daniel Butters and Clare Boardman, restructuring partners at financial advisers Deloitte, have today been appointed as joint administrators to the troubled retailer.

They say Poundworld, which has outlets in the Rivergate Shopping Centre, and the Wisbech Retail Centre, in Wisbech, will continue to trade while a search for a buyer for part or all of the business gets underway.

They say there are no redundancies or store closures at this time.

Clare Boardman, joint administrator, 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.

"We still believe a buyer can be found for the business or at least part of it and we are keeping staff appraised of developments as they happen.

"We thank all employees for their support at this difficult time.”

She said that like many high street retailers, Poundworld had suffered from high product cost inflation, decreasing footfall, weaker consumer confidence and an increasingly competitive discount retail market.

Poundworld offers about 8,000 product lines mostly priced at Â£1, including groceries, toiletries, household cleaning and confectionery items.

The business operates from 335 stores and its head office and distribution centre in Normanton, near Wakefield in West Yorkshire and employs about 5,100 people.

Worrying times for staff at Peterborough's Poundworld