Work is under way to knock two shops into one in Felixstowe town centre – and the project may yet include a third business.

Both Halfords and Thing-Me-Bobs closed their premises in Hamilton Road this summer, leaving two of the town’s biggest retail units empty, side by side.

Now contractors have started work on a project to knock the two shops into one large store.

The project may also get bigger as the next shop in the row, The Wharf, is due to close this weekend.

Speculation in the town suggests that this large unit could also be included in the refurbishment scheme, with all three shops knocked into one big store, creating the largest non-food outlet in the town centre.

Poundland is thought to be behind the project – and has started recruiting workers for a store in Felixstowe.

But the company has neither confirmed or denied involvement.

A spokeswoman said: “Poundland is currently considering the acquisition of new stores to add to those already opened this year.

“The stringent acquisition process ensures the new stores are positioned in the right location and fit Poundland’s customer profile.

“Due to the popularity of Poundland’s product ranges, the organisation is keen not to raise anticipation for a new store before plans are finalised.

“Therefore, Poundland cannot disclose any more information at this stage.

“As soon as all details have been confirmed, Poundland will immediately release this information to the area in question.”

Mark Nafi, owner of The Wharf, said the shop was closing as the lease was coming to an end.

He would still like to run a store in Felixstowe town centre if the right size premises could be found.

However, the Ipswich shop – in Thoroughfare, near Cornhill – will continue to operate as normal.