Up to 60 Post Office branches could be wiped from local towns and cities as part of TG Jones restructuring plan.

Modella Capital, the private equity group which bought and rebranded WHSmith’s high street division, is looking to change contracts with the Post Office to make it easier to close branches located inside the stores, according to The Guardian.

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As it stands, TG Jones operates 180 post offices and up to 60 could be closed as part of its £35million restructuring effort to keep the lights on.

It could also see up to 150 of the 450 rebranded stores axed permanently.

The paper said that Modella wrote to creditors saying it would amend Post Office contracts so that “outlets that lose their leases can be closed with just 56 days’ notice”.

This is less than a third of the current notice period of six months. This will only take effect if the restructuring plan is approved with creditors set to vote on a decision next month.

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Up to eight branches have already been confirmed for closure; this includes branches in London, Manchester and Solihull.

Mole Meade, a member of the CWU executive council, told the paper the areas served by Post Offices that are set to close would “become postal deserts in a modern world”.

If approved, it means that Post Office desks located in the stores will either have to relocate or close for good in that area.

Modella Capital purchased the business in March 2025, but the rebranding to TGJones has struggled to resonate with shoppers.

The former WHSmith high street arm was sold last year and rebranded as TG Jones in a £76million shake-up aimed at saving the business.

While WH Smith sold all its high street stores to Modella last year, it continues to operate its travel shops, including in airports and train stations, which was the more profitable part of the business.

Modella recently put Claire’s Accessories and The Original Factory Shop into administration following “last-ditch attempts to rescue them”.

The Original Factory Shop has now closed all of its stores for good.

Claire’s brought the shutters down on all 154 standalone stores across the UK and Ireland on Monday after failing to find a way out of a deepening financial crisis.

However, up to 50 stores could be brought back to the UK as part of a deal with Julien Jarjoura, the French entrepreneur behind jewellery company Une Ligne.

A Post Office spokesperson said:“It’s regrettable that following the restructuring plan announcement by TG Jones on 7 May, a small number of Post Office branches inside TG Jones stores will close in the coming months.”

A TG Jones spokesperson said: “The Restructuring Plan is designed to protect the substantial core of the store estate and create a stronger, more sustainable business that can continue to serve customers for years to come.

“We are extremely grateful to the many stakeholders who have pledged their support, including the Post Office and Toys R Us.”