It has also been revealed that The Entertainer has made the decision to withdraw from its trial arrangements with Modella covering the TG Jones and Hobbycraft stores.

Modella Capital, the company behind TG Jones, the former WH Smith High Street chain, has secured court approval for a major restructuring programme that could result in the closure of up to 150 stores and significant rent reductions across much of its remaining estate.

Toy World has also learnt that The Entertainer has taken the decision to withdraw from its trial arrangements with Modella covering the TG Jones and Hobbycraft stores. The Entertainer informed Modella of its decision yesterday, and final details of how termination rights will be enacted will be confirmed shortly.

On this decision, Andrew Murphy OBE, CEO of the Teal Group, said: “The Hobbycraft trial, while successful in sales terms, could not move forward due to differences of opinion over the breadth of the range that should be offered. In TG Jones, while we very much enjoyed the opportunity to improve the range and retail standards delivered under the TRU fascia, the termination of the pilot reflects our commercial judgement about the revenue we think it will be possible to generate from what will clearly be a diminished estate going forward.”