The Australian owners of Homebase could close 40 stores, putting 2,000 jobs at risk.

Wesfarmers paid £340m for the DIY chain two years ago and has been rebranding the stores under the Bunnings name, as reported by the BBC.

But after a "disappointing" performance, the firm has put chain, which has stores in Cheltenham and Gloucester, under review and expects it to lose £97m in the first half of 2018.

It's just the latest UK retailer to announce it is struggling in the face of rising inflation and fragile consumer confidence.

Homebase's rival, B&Q, last week said it was cutting 200 jobs at its head office in Hampshire as part of a cost-cutting drive.

Wesfarmers said it had written down the value of the Homebase chain by £454m as a result of its poor trading. The company said the acquisition of the DIY chain was below expectations.

It's not yet known whether stores in Gloucestershire will be affected by the closures.