McColl's convenience stores across Worcestershire are set to rebrand as the chain struggles with the risk of closure. 

The store revealed that it was struggling during the pandemic due to supply chain issues, inflation and heavy debt.

The firm has now confirmed it will collapse into administration, putting 1,100 shops and 16,000 workers at risk.

The troubled retailer held talks with its lenders on Friday morning in the hope they could extend their loan agreements.

Supermarket giant Morrisons, which is a major wholesale partner, also tabled a last-ditch effort to buy the business, which it said would have “kept the vast majority of jobs and stores safe”.

Worcestershire has two McColl branches - one in Kempsey and one in Malvern Wells.

The store on Wells Road, Malvern Wells is set to rebrand itself as a Morrison's Daily.

Worcester News contacted McColl in Kempsey for a comment. 

The company will now appoint administrators from PwC in an effort to “preserve the future of the business and to protect the interests of employees”.

The company said it hopes the administrators will help to “implement a sale of the business to a third-party purchaser as soon as possible”.

 

 

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Morrisons, which was bought by a US private equity firm last year, said the administration is a “disappointing” outcome.

A spokeswoman said: “We put forward a proposal that would have avoided today’s announcement that McColl’s is being put into administration, kept the vast majority of jobs and stores safe, as well as fully protecting pensioners and lenders.

“For thousands of hardworking people and pensioners, this is a very disappointing, damaging and unnecessary outcome.”