Do you worry for the future of the Post Office as WH Smith looks to close shops?

Speculation is rife within the industry that a new owner might close up to half of WHSmith’s 500 high street stores. The iconic bookseller and stationer has announced it is exploring different strategic options for its profitable and cash-generative high street business, which could involve divesting these branches.

Do you worry for the future of the Post Office as WH Smith looks to close shops? Join in the conversation.

WHSmith has increasingly been concentrating on its travel division, with outlets located in airports and railway stations.

The company is reportedly in talks with private equity firms Hilco and Alteri, Modella Capitalthe owner of Hobbycraft, and Doug Putman, who owns HMV. Yet, insiders speaking to The Guardian suggest that any potential buyer would likely retain only around half of the retailer’s UK stores, as reported by the Mirror.

An unnamed insider conveyed to the publication: “I can’t see anybody who would want to run 500 locations of anything on the high street. Some sites are brilliant, but some clearly aren’t.”

Presently, approximately 200 WHSmith stores feature a significant Post Office presence. This comes after January reports indicated WHSmith’s intention to shut down 17 stores in the upcoming months.

WH Smith has been visibly restructuring its operations, starting with the permanent closure of its Bournemouth and Luton high street stores on January 18. This action was in line with the company’s June 2023 announcement that it had no plans to open new UK high street branches.

In November 2024, the retailer confirmed it would be shutting down 14 additional stores and suggested that this trend of closures might continue into the current financial year.

A November update from WH Smith indicated that the company is facing the renewal of approximately 470 store leases over the coming three years and is actively engaged in negotiations for 100 of these. Despite closing some outlets, the retailer has demonstrated a strong commitment to expanding its UK travel division, having opened 14 new locations and closed eight during the last financial year, with a plan to inaugurate between three and eight net stores this year.

WH Smith disclosed last year: “As we grow travel, the high street division will become a smaller part of the overall group. We only renew a lease where we are confident of delivering economic value over the life of that lease.”

In an effort to enhance its product range, WH Smith has brought Toys R Us concessions to many of its stores, including inaugurating 37 new ones just before the previous Christmas. After a significant revival in vinyl popularity, they’ve also returned to selling records after a hiatus of over 30 years, now available in 80 high street shops.

Do you worry for the future of the Post Office as WH Smith looks to close shops? Join in the conversation.