Poundland have given their reasons for moving out of Coalville - saying the town centre's footfall 'is not capable of supporting it'.

The cut price store is due to close in the new year when the lease on its Belvoir Shopping Centre lease runs out.

But the company's managing director Barry Williams has outlined details of its decision not to stay in the town.

Mr Williams was responding to Cllr Elliott Allman's social media comments last week that the shop would 'absolutely not' be a loss to the the town.

Cllr Allman has since moved to clarify his comments.

Mr Williams sent an email to the North West Leicestershire District councillor which was also shared with Coalville Nub News.

The Poundland MD wrote: "We are certainly disappointed to have reluctantly decided to leave our Belvoir Centre store on the expiry of its lease. 

"Not least because we're currently opening in a significant number of other stores in locations elsewhere in the UK.

"So why are we having to close our Coalville store when we're successfully trading in other towns?

"These are the facts:

• Across the UK our stores are performing strongly, but Coalville bucks that trend – in the last two years it's seen a 10 per cent decline driven by the lack of footfall in the town centre and has operated at a loss for some time. 

• The hard truth is there is very little other retail around the store to help support its growth.

• We had agreed a discretionary rent for some time with the landlord to try and keep the store open for as long as we could, but there seems no prospect of a return to the kind of footfall that would return the store to profitability.

• These discretionary arrangements have allowed us to continue to be a net contributor through business rates to the local council. 

• We have no doubt that a store in Coalville, supported by a more vibrant Coalville town centre should be the right place for us to trade – but the town centre is not capable of supporting us with the kind of footfall that makes keeping the store open a viable prospect, despite our hard work trying to achieve the right terms with our landlord. 

Poundland in Coalville's Belvoir Shopping Centre. Photo: Coalville Nub News

 "However, while those are the facts regarding the Coalville closure, I wanted, on behalf of the colleagues in that store who've worked their hardest to give it a go, address some of the misconceptions.

• Our products are not 'mostly made in China'. In fact across our business, the majority – around 60 per cent - is sourced here in the UK and in Europe.

• Far from being 'low quality' as our shoppers know, we've won awards for many of our ranges, from make-up to toiletries, clothing to homewares. 

• In terms of local suppliers, you might surprised to learn that one of our best-selling ranges – our Quantum bathroom and kitchen paper products - are sourced just 15 miles away at the Leicester Tissue Company. That multi-million pound partnership has helped support a significant number of local manufacturing jobs.

• What's more, you appear not to know our history – our first Poundland store was opened just 15 miles away in the opposite direction in Burton.

•And Belton Villa Junior Football Club up the road has just received a £500 grant to their home kit from our Poundland Foundation.

"So while you might think our departure from Coalville is "no loss", I suspect our customers who appreciate the value we provide, may think that's a little out-of-touch with the reality of what we've offered in the face of the current cost of living crisis. 

"We think its the role of local politicians to help create the kind of environment where the jobs we create and the value we provide has every chance to prosper – there are certainly no shortages of places right across the UK where that is happening and we're sad that isn't the case in Coalville.

"It's not been an easy decision for us to leave our present Coalville home – we will do all we can to look after the colleagues impacted by departure in January."