TG Jones wins court approval to close up to 150 UK stores

A major UK high street retailer has won court approval for a drastic restructuring plan that will see up to 150 stores close and hundreds of jobs put at risk. The High Court sanctioned the plan for TG Jones, the chain formerly known as WH Smith, on Wednesday, July 1, 2026, averting an imminent insolvency.

The approval unlocks a new 15 million pound loan from the company's owner, Modella Capital, which had already provided a 10 million pound loan in April. Lawyers for the retailer had told the court the business was "highly distressed" and facing an 8 million pound cash shortfall by the end of the week without the rescue deal. They argued the company would have run out of cash earlier in the year without the owner's support.

The restructured business will operate with a significantly reduced store estate. The "working assumption," according to TG Jones counsel Tom Smith KC, is that approximately 150 of its roughly 450 stores will close. The closures will occur where landlords choose to terminate leases rather than accept sharply reduced rents. Under the plan, 122 stores will pay no rent for three years, while rent will be cut by between 15% and 75% at hundreds of others. The...