Discount hobby shop The Works 'could run out of money'

exterior of shop

The Works, with shops across Norfolk and Waveney. - Credit: The Works

Bosses at retailer The Works, with shops across Norfolk and Waveney, have expressed concerns about its future in lockdown.

The firm said there are scenarios where it would breach its agreements with lenders in the next financial year.

It said it "represents a material uncertainty that may cast significant doubt on the group's and the company's ability to continue as a going concern".

The company reported that in-person shopping restrictions over the last few months have seen revenue drop by nearly a quarter.

Sales have fallen by 24.8pc, despite a 70pc jump in online sales compared with the same period a year ago.

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In the six months to the end of October, revenue dropped by 7.8pc to £88.9m, as the company's shops were forced to close.

The firm did, however, see a rise in sales of art, crafts, jigsaws and books as part of a "beat the boredom" offer in lockdown.

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