Poundland will return to Stamford at the Markham Retail Park on Ryhall Road

A discount retailer is returning to Stamford after closing its town centre branch six years ago.

Work has started to convert the former Argos premises into a branch of Poundland, incorporating its clothing brand Pep & Co.

At the start of the year Poundland approached South Kesteven District Council with a view to opening a store at Markham Retail Park on Ryhall Road.

The council has agreed to alter planning conditions which limit the amount of shop space dedicated to food sales.

Construction work is now under way at the site.

Poundland used to have a store in High Street. It opened in November 2013 but closed a year later.

At the time the company declined to give a reason for its departure from the town.

Speaking in January this year, a spokesman said: “We always loved being in Stamford and were sad to leave.

“Our search continues for somewhere we can bring our amazing value to the town."