WHSmith's sale leads to 'sadness' and uncertainty

WHSmith is selling its shops to Modella Capital, which will take ownership of approximately 480 stores and 5,000 employees. WHSmith’s travel outlets, including those in airports and train stations, are excluded from the sale.

This marks the end of the WHSmith name on the high street, with stores set to be rebranded as TGJones.

The group's travel division - which has become its main focus in recent years and includes shops in hospitals - will remain unchanged. This division now accounts for the majority of the company’s sales and profits, with over 1,200 stores across 32 countries.

The announcement has led to “sadness” from the Booksellers Association, whose managing director Meryl Halls said: “It is always a moment of sadness when a historic brand leaves the high street, especially when like WHSmith they bring books to communities with few other means to access them.

“Through their commitment to selling books and extensive charity work, WHSmith has for centuries served communities around the UK - many of which have lost access to public libraries in recent years.

“Alongside continuing our existing relationship with WHSmith Travel, we intend to work with TGJones to continue WHSmith’s legacy of promoting reading by keeping books in their shops, on the high street and in the hands of local readers.

“We also encourage the government to see this situation as an indication that further high street investment is essential to the health and longevity of our town centres. Positive actions such as business rates reform, tenant protection and creative partnerships to reinvigorate our retail and leisure spaces will help keep high streets vibrant, diverse and viable locations for bookshops - from national chains to local independents - to thrive.”

WHSmith’s chief executive Carl Cowling said: “As we continue to deliver on our strategic ambition to become the leading global travel retailer, this is a pivotal moment for WHSmith as we become a business exclusively focused on travel.

“As our travel business has grown, our UK high street business has become a much smaller part of the WHSmith Group. High Street is a good business; it is profitable and cash generative with an experienced and high-performing management team.”