Poundland is on course to open 30 new stores this financial year as the value retailer reaps the benefits of the economic downturn.

This week Poundland opened new stores in Bangor, north Wales, and Hammersmith, west London. The additions take its estate to 177 stores, with another launch expected next week in Newcastle.

A company source said food and drink sales were "doing really well" as customers sought to combat soaring food prices.

Poundland stocks a number of branded ambient grocery lines, including major brands such as Sugar Puffs, Wheat Crunchies, Twix and Ritz crackers.