Historic British high street chain faces up to 100 store closures as owner prepares restructuring plan

Joe Sledge
Sat, 02 May 2026 06:00:02 +0000

Stationery store TGJones is facing the potential closure of up to 100 stores as its owner develops a restructuring plan for the business.

Private equity firm Modella Capital is preparing proposals that would allow around 400 branches to continue operating, subject to agreements with landlords on reduced rents.

The retailer currently runs about 480 shops and employs roughly 5,000 staff.

Advisory firm Teneo and legal specialists Slaughter and May have been appointed to support the restructuring process.

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The plan could be implemented using a “cram‑down” mechanism, which allows approval with the backing of a single class of creditors.

TGJones is expected to seek approval from the High Court, with the company warning administration would be the only alternative if the restructuring does not proceed.

The move comes as a 12‑month moratorium on store closures and restructuring, agreed when Modella acquired the business, approaches its end.

Much of the transition work, including back‑office systems and IT infrastructure, has already been completed.

The restructuring follows earlier expansion plans outlined to landlords in November, when senior figures including property director Charlie Martindale and then chief executive Sean Toal, said they aimed to position the chain as “the hub of the High Street”.

Proposals included expanding the store estate and introducing services such as banking and Post Office counters within branches.

The latest developments come amid wider challenges across Modella’s retail portfolio.

Claire’s Accessories recently ceased trading at all 154 standalone stores across the UK and Ireland, leaving around 1,300 employees facing redundancy.

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The Original Factory Shop has also been affected, with all 137 of its stores closing following Modella’s acquisition.

Modella has linked these closures to increased operating costs introduced by the Government.

Claire’s was placed into insolvency after what was described as weak Christmas trading.

Post Office branches located within TGJones stores are not expected to be affected by the proposed restructuring.

TGJones was acquired from WH Smith for £76million in March 2025 and subsequently rebranded.

The retailer’s origins date back to 1792, when Henry Walton Smith opened the first store in London, later expanding into travel retail with a site at Euston station in 1848.

WH Smith continues to operate separately from TGJones, maintaining a presence across railway stations, airports and service stations, with more than 1,700 outlets in around 30 countries.

Modella’s wider portfolio also includes Hobbycraft and other retail brands.