Modella Capital to Close Up to 100 TG Jones Stores, Threatening 5,000 Jobs and Post Office Branches

Modella Capital, which acquired WH Smith's high street newsagent estate for £76 million in 2025 and rebranded it as TG Jones, is planning to close up to 100 of its 480 stores, affecting approximately 5,000 employees. The closures will also impact in-store Post Offices, including the Ipswich branch set to close on June 6, 2026. Working with Teneo and law firm Slaughter and May, Modella is pursuing a restructuring that may involve a 'cram-down' legal mechanism to push the plan through with backing from one creditor class and the High Court, where TG Jones is scheduled for two hearings. The company has committed more than £35 million in financial contributions and proposed rent reductions on hundreds of stores, blaming weak consumer spending, cost-of-living pressures, rising operating costs, the forced loss of the WH Smith brand, and challenging retail conditions for the chain's continued losses. Lender Secure Trust, which provided a £50 million loan to support the acquisition, is playing a key role in the restructuring.