Wilko rescue deal by HMV owner fails – sparking fears of job losses and closures across Chesterfield and Derbyshire

Doug Putman, the billionaire owner of HMV, was in negotiations to save hundreds of Wilko stores from closure – but talks have now collapsed after rising costs and supply chain issues complicated the deal.

This leaves the future of more than 10,000 workers and hundreds of stores uncertain, including branches in Chesterfield, Clowne, Alfreton, Matlock, Belper, Ripley, Ilkeston and Derby.

Administrators at PwC are expected to confirm details of store closures and job losses in the coming days, according to reports by the BBC.

The company has already seen 52 branches shut down and more than 1,000 redundancies made this week. It is thought that some of Wilko’s reminding stores could be purchased by the company’s rivals, including The Range and Poundland.

Wilko collapsed into administration last month, with some 556 members of staff already being made redundant at their distribution centres in Worksop and Newport, along with the company’s support centre.

Mr Putman told the BBC: “It is with great disappointment that we can no longer continue in the purchase process for Wilko having worked with administrators and suppliers over several weeks to seek a viable way to rescue it as a going concern.

“A stable foundation could not be secured to ensure long-term success for the business and its people in the way that we would have wanted.”

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B&M plans to take on as many as 51 Wilko stores in a £13 million deal, but the company has not yet confirmed whether this will see jobs saved for Wilko’s staff.