Job losses at Wilko could be announced on Thursday after an offer to buy the entire business reportedly failed to “pass basic checks”, according to a union representing workers.

The GMB said it had been told redundancy plans at the discount homeware chain, which were said to have been suspended earlier this week, could be “restarted” and the future of any jobs at the firm could not currently be guaranteed.

It comes after the union met with administrators from PwC on Wednesday morning.

The discount homeware goods company, which employs around 12,500 staff, collapsed earlier this month after struggling from inflationary pressures, competition from rivals and supply chain challenges.

But the chain’s 400 branches have remained open since then in the hope a buyer can be found, with PwC setting a deadline of last Friday.

Sky News understands private equity firm M2 Capital submitted a bid for the entire chain and talks are ongoing.

There are no plans to close any Wilko shops this week.

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A GMB spokesperson said: “In the meeting they [PwC] advised that the company were still actively assessing a number of bids.

“However, they also advised that the bid which had been received for the entire business has yet to pass basic checks.”

The union said that if further information from the bidder was not received by 5pm on Wednesday “then the redundancies which were paused yesterday are likely to be restarted tomorrow”.

It suggested this could include roles at the company’s distribution centres and support centre.

The GMB added: “Whilst this does mean that there are bids on the table for a significant proportion of the stores and the online business, we still cannot guarantee the future of any jobs moving forwards at this point.”

The GMB and PwC are due to hold further talks on Thursday, the union said.

PwC declined to comment.

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