EIGHT jobs are set to go when a discount retailer closes a Blackburn branch on Sunday.

Administrators to Poundworld announced it will close 25 stores including the Blackburn store in The Mall, resulting in 242 job losses.

The Poundworld Plus store, also in The Mall, is remaining open.

Poundworld went bust last month and Deloitte, which is overseeing the process, has been attempting to secure a buyer for the business.

This decision will not impact on the potential sale of the remaining business, with discussions continuing with interested parties. The impacted 25 stores will hold their last day of trading on Sunday with the redundancies taking place on Tuesday, July 17.

A memo to staff said: “The administrators have been preparing contingency plans in the event that we are not able to deliver a sale of the business as a whole. These plans have been continuing and it is with regret that the administrators have taken the decision to effect an organised wind-down of 25 stores, starting today.”

Poundworld, formerly owned by private equity firm TPG Capital, has 335 stores and employs around 5,100 people. Clare Boardman, joint administrator at Deloitte, said: “Whilst we remain hopefully that a sale for part of the business can still happen, it has not been possible to sell the business as a whole, resulting in today’s announcement.

“We would like to thank all the employees for their continued support and commitment during this difficult time. We are keeping staff appraised of developments as they happen.”

Deloitte has made 100 people redundant at Poundworld’s head office in West Yorkshire.

The offers received are in respect of a significant number of stores and include the head office and distribution centre.