Future of Chichester store unclear despite national chain's rescue deal

The sale to a newly incorporated company, Aspen Phoenix NewCo, means that about 1,000 of Paperchase's 1,500 employees will keep their jobs.

However, as widely reported in the national press today (Thursday), the card retailer is still set to close 37 of its 127 stores permanently. This has been described by the chief executive, Olly Raeburn, as a 'tough but necessary decision' to safeguard the future of the business.

The high street chain has a store in North Street, Chichester, as well as shops in Crawley, Lewes, Eastbourne, Shoreham and Brighton.

When approached for comment, the retailer was unable to confirm which stores would be affected.

Paperchase hired administrators after sales took a hit due to significantly lower footfall during the coronavirus pandemic.

Mr Raeburn said: “The cumulative impact of lockdowns and related restrictions means that it is imperative we make this tough but necessary decision to safeguard Paperchase’s future.

“In taking this action, we are giving ourselves the best opportunity to ensure that the business is fit for purpose in this new retail environment. We have been in close dialogue with all of our stakeholders through this process and are grateful for their continued support.

“We, of course, recognise that this affects many of our colleagues and we will do all we can to assist them during this difficult time."