A popular bargain store once tipped to rival Poundstretcher has ceased trading and fallen into liquidation.

       MaxiDeals, formerly known as MaxiSaver, specialised in popular food and drink, cleaning, health and beauty and household products and expanded quickly after opening its first store in Hinkley, Leicestershire, in August 2020.

       Managing director and former director of operations at Poundstretcher, Paul Mathers, recently confirmed the company’s closure, telling The Grocer that MaxiDeals had ceased trading “very suddenly” in a “really tough trading environment on the high street, accompanied with rising costs”.

       The company expanded to a peak of 24 stores after launching, capitalising in part on a cost-of-living crisis that increased the attraction of bargain stores offering popular consumer goods at more affordable prices.

       The chain which was tipped to become Poundstretcher's rival by national media such as The Sun and The Mirror had continued to expand throughout 2024, with its last store opening as recently as September last year.

       Don't miss... Full list of Lloyds, Halifax and Bank of Scotland branches closing in February [LATEST]

       Mathers also posted an update on his LinkedIn profile saying: “MaxiDeals was a new startup discount retail business backed by investors, where I was given the responsibility of opening its retail locations across various parts of the UK.

       “We opened these stores during very challenging times with the Covid outbreak just starting, however we did manage to get to 24 stores.”

       MaxiDeals was not alone in experiencing an difficult retail environment, with larger more established businesses in the bargain sector also struggling to make ends meet.

       Bargain giant Poundland recently published end-of-year accounts which showed revenue falling 9.3% in the three months to December 31.

       According to The Grocer, Poundland owner Pepco Group posted a ￡557 million (€662m) net loss for 2024.

       Don't miss...

       Poundstretcher 'being sold to US group which owns Majestic Wines' [LATEST]

       Poundland introduces change to 800 UK stores - 'enough is enough' [LATEST]

       The bargain European city where you can get a 3 course meal for just ￡12 [LATEST]

       Last month, the company which has over 800 stores across the UK announced it was set to close 13 sites.

       Stephan Borchert, CEO of Pepco Group, said: "The group delivered a mixed performance in its first quarter.

       "Poundland saw like-for-likes fall, largely driven by continued underperformance in clothing and general merchandise following the transition to Pepco-source products.

       "Getting Poundland back on track is a key priority – we are undertaking a comprehensive assessment of the business and taking immediate measures on improving cash performance and strengthening the customer proposition."