Key facts
- B&M is reportedly planning an offer to acquire shops from rival Poundland.
- Poundland is expected to close over 100 locations.
- Home Bargains is outperforming the variety discount sector.
Discount retailer B&M is reportedly planning an offer to acquire some stores from its struggling rival Poundland, which was sold for £1 last year as part of a turnaround plan. Poundland is expected to close over 100 locations. B&M is pursuing its own recovery under a "Back to Basics" strategy, which centers on simplifying its product range and lowering prices. The company reported preliminary full year results for FY26 showing like-for-like sales were mostly flat at -0.1%, an improvement from -3.1% in FY25, with Q4 seeing LFL growth of +0.1%. Overall sales growth was 2.9% supported by new space, with 41 gross store openings resulting in 22 net new stores. However, B&M cut its FY2026 profit outlook in January, attributing it to an inventory reset. Home Bargains is outperforming the sector, with spend growing year-on-year while B&M and Poundland have seen declines.