When did Woolworths collapse in UK? One of UK’s largest high-street retailers may make a comeback

Woolworths, once a major player in the UK retail sector, is poised for a potential return to the British high street nearly 15 years after its collapse. According to the report by BBC, the HH Holding Chief, Roman Heini is spearheading the expansion of Woolworth Germany in Europe and expresses a desire to include new UK stores on his "bucket list."

Renowned for their pick-and-mix sweet counters, these stores disappeared from town centers when the British company faced administration problems in 2009, marking the end of a century-long legacy. On Monday, January 22, Roman Heini disclosed his efforts in approaching Shop Direct to reclaim ownership of the brand to The Independent:

“I don’t know of any brands where the recognition will be as high as it is in Britain, without having any stores. We have secured all the trademarks for the brand for the whole of Europe, so we could operate if we make the decision. It may be in the mix for the mid or long-term future.”

As such, people are eagerly anticipating the return of one of the most beloved high street names.

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What is Woolworths, and why did it collapse in 2009?

Woolworths refers to a historic chain of retail stores that originated in the US in the late 19th century. The stores were originally part of the F.W. Woolworth Company, founded by Frank Winfield Woolworth. It became famous for its "five-and-dime" stores, where most items were priced at five or ten cents.

Woolworths And Coles Release Full-Year Financial Results (Image via Getty/@Lisa Maree Williams)

Woolworths gained popularity for offering a wide variety of merchandise, from household items and clothing to toys and stationery.

Woolworths occupies a special place in the hearts of many Britons, who fondly reminisce about the brand. Steeped in British high-street history, Woolworths was celebrated for iconic features such as its pick 'n' mix, Ladybird children's clothing range, and the WorthIt! Value range.

WBBL - Sydney Sixers v Hobart Hurricanes (Image via Getty/@Hanna Lassen)

Following Woolworths' filing for a form of bankruptcy protection, Deloitte, the appointed administrator, reported in 2008 that discussions were underway with potential buyers for segments of the U.K. chain's 800-plus stores.

Simultaneously, Deloitte initiated a shutdown plan and, on December 17, 2008, commenced a closing down sale at Woolworths stores, reducing prices on items such as toys, DVDs, and kitchenware by up to 50%.

The brand faced a crisis during the financial crash, and in December 2008 and January 2009, Deloitte shuttered all 807 stores, resulting in the loss of 27,000 jobs.

As reported by the Mirror, Woolworth Germany faced insolvency in 2009 but successfully staged a comeback, expanding its presence into Austria and Poland.

With over 600 shops, the German branch does not engage in online sales and specializes in offering own-brand household goods and clothing.

The proprietor of The Very Group, David and Frederick Barclay, operated the brand as a retail site before gradually phasing it out in 2015. While having a conversation with Daily Star Online, he said:

"They have taken the website down, so I'm curious now as to what might happen next because I still think the brand has got some propriety in spite of what happened in the past."

According to Fashion Network, the owner was very optimistic for Woollies, stating that the business would come back with town center and community stores instead of major shopping centers. He cited:

“The stores the reality used to do well were those that were at the heart of the community, rather than being in the big shopping centres. It is much easier to walk down the road than to order on Amazon."

Moreover, according to the Mirror, Mr. Heini said:

“There are over 300 million potential consumers in Europe and no dominating player. The market is still there to be divided between the potential players for the future.”

As per The Mirror, the Woolworths may be returning to the UK High Street after 15 years. People are expressing delight as they are anticipating the return of the much-loved household name.