New World re­places £1 with a fiver

The People - - NEWS FEATURES - By Stephen Hay­ward

A NEW high street chain where ev­ery­thing costs a fiver aims to have 150 shops within 18 months.

The first Five Pound World opened in a for­mer Pound­world store in Bur­ton-on-trent, Staffs, last week, and two more will launch this month in Derby and Waltham­stow, North East Lon­don.

They will sell both sin­gle items and bun­dles of cheaper goods for £5.

Its range in­cludes non­food goods and home­ware. But in­dus­try in­sid­ers say this is only a quar­ter of what is planned, with food and fast-mov­ing con­sumer goods to be added in multi­buy deals.

Trade magazine The Gro­cer said the firm hopes that by sell­ing items for £5 it will es­cape the pres­sure on pound shop mar­gins.

The sec­tor has strug­gled since 2016’s Brexit vote caused ster­ling’s value to fall – mean­ing im­ported items got more ex­pen­sive.

Pound shop chain Pound­world col­lapsed in June with the loss of 5,000 jobs and 335 stores. It had also suf­fered com­pe­ti­tion from ri­vals Pound­land and Pound­stretcher.

One in­sider said: “The pound is dead. Five pounds is the new pound.”

LAUNCH: The new store

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