Major retailer launches huge closing down sale as two more stores to shut amid 35 closures this month

A MAJOR retailer has kicked off a massive closing-down sale, offering up to 70% off at more stores set to shut their doors for good.

Homebase is set to close two more stores in the coming weeks, following its collapse into administration several months ago.

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The beleaguered DIY retailer has announced a mega clearance sale at its branch on Easlea Road, Bury St Edmunds, which is scheduled to shut its doors for the final time on Friday, 28 February.

Signs have littered the frontage of the shop in recent days stating: “Store Closing. Everything Must Go!”

A spokesperson for administrators Teneo said: “All employee wages and benefits will be paid for their period of employment.

“The joint administrators’ priority is working closely with government agencies to provide support to affected employees.”

This is not the only Homebase store holding a closing-down sale. Shoppers at the Maidenhead branch, located on Stafferton Way, have also been taking advantage of discounts of up to 90%.

However, the exact closure date for this location has yet to be confirmed.

Homebase’s most recent closure took place on February 16, when its store in Selby, North Yorkshire, shut its doors for the final time.

Homebase crashed into administration in November, but it was partially rescued by billionaire Chris Dawson, the owner of The Range and Wilko.

Dawson’s intervention looked to retain “up to” 70 stores and save 1,600 jobs as well as the Homebase brand, leaving 74 branches and roughly 2,000 employees at risk.

Just a week later, Teneo, Homebase’s administrators placed the 74 stores up for sale.

Although the company established a deadline of November 29 for potential buyers to acquire these branches, it’s become clear that not all stores have been saved.

Several Homebase stores, including those in Morecambe, Winchester, Selby, and Derby Kingsway, have displayed unexpected closure notices in recent months, despite never being listed for sale.

It could have been assumed these locations might have been earmarked for rescue by CDS Superstores, the owner of The Range and Wilko.

However, the status of these stores remains uncertain.

Analysis by The Sun reveals that just 57 stores were excluded from being listed for sale and could potentially have been part of CDS’s rescue plan.

Yet, CDS has only confirmed the rescue of 12 stores so far, leaving the total number of saved locations unclear.

In January, Homebase closed 20 stores, seven of which had already been acquired by supermarket giant Sainsbury’s in August 2024.

A further 35 stores are due to close by the end of February, including two purchased by Sainsbury’s last year in Glenrothes and Inverurie.

Last month, B&Q agreed to buy five of the chain’s branches that were for sale.

Currently, 26 Homebase stores remain on the market, while the future of another 43 stores that were never listed for sale remains uncertain.

Both Teneo and CDS Superstores have declined to comment on the matter.

What is happening to the stores bought by CDS?

CDS Superstores previously said it would buy up to 70 Homebase shops.

It has also taken on the Homebase brand and relaunched its website with thousands of products up for sale.

It is re-purposing and opening some of the former Homebase stores under its The Range brand.

The new stores will feature products usually found in The Range but some will also contain “Garden Centres by Homebase”.

Others will feature “Kitchens by Homebase” spaces.

The hybrid branches have already started opening with CDS saying it wants to open three a week over the coming months.

The company plans to open at least 50 before the end of April.

Stores have opened in Birmingham, Felixstowe and Blyth.

Pictures of one of the new stores in Bournemouth were revealed when it opened in January.

CDS said the move to take on up to 70 Homebase sites would see 1,600 staff keep their jobs.

Why are DIY chains struggling?

It has been a tricky time for home improvement chains, both large and small.

It comes as shoppers have been cutting back on spending following the pandemic.

Plus, the recent turmoil in the housing market has meant that homeowners aren’t as focused on DIY projects as they once were.

In the spring, Kingfisher, which owns B&Q and Screwfix, revealed that annual profits had slumped by more than a quarter.

The company reported a 25.1% drop in underlying pre-tax profits to £568million for the year to January 31, 2024.

Window and door specialist Everest called in administrators in April, leaving customers in the dark about their orders.

Last year, the group had previously cautioned profits would slip after a 36% drop in pre-tax profits from £1billion to £611million in the 12 months to January 2023.

Rival Wickes also reported a 31% fall in profits to £52million on flat revenues of £1.55billion for 2023.

Windows and doors company Safestyle collapsed into administration in October last year.

The company has a manufacturing site in Wombwell, near Barnsley and 42 sales branches and depots across the country.

Flooring retailer Tapi recently struck a multimillion-pound rescue deal to save the Carpetright brand and dozens of stores last month.

Tapi purchased 54 of the chain’s stores and two warehouses in a pre-pack administration deal that saved 300 jobs.

However, the deal did not include 200 other stores which all closed their doors.