The new owner of British Bookshops and Sussex Stationers has vowed not to close any more stores as it battles to save the ailing chain.

But a number of staff will be made redundant and bosses are seeking to reduce workers hours.

The loss-making chain, which has 22 outlets in Sussex and 17 more across the South East, was sold by Ireland-based Easons to private equity firm Endless earlier this year.

The company has already made 30 redundancies at its warehouse and head office in Hollingbury, Brighton, and last month it was feared many of its 600-plus shop staff could also be released.

But yesterday chief executive John Simpson told The Argus a review of its store portfolio concluded that no outlets will shut.

He said: “We are going to be able to avoid closing any stores but staff numbers will be reduced at the majority of stores.”

The 39 stores in the South East have different staffing levels and Mr Simpson said they will be looking at each case on an individual basis.

Mr Simpson said he would not say exactly where the axe will fall until the consultation process was completed at the end of next week.

But he added: “Some of the stores will not see any redundancies at all. Despite the staffing cuts, the company is looking to open a further five stores in the South East.”

Mr Simpson said that, where possible, workers being made redundant will be offered posts in the new stores.

British Bookshops has become a Sussex institution since brothers Michael and Jonathan Chowen opened a bookshop in Haywards Heath in 1971.

Eason bought the company in 2005 in a deal then estimated to be worth £30 million but in recent years the chain struggled.

According to the company's accounts, in the year to January 27, 2008, British Bookshops made a pre-tax loss of £1.8 million.

Sales fell 4.8% to 34.7 million, which the company blamed on discounts in supermarkets and online competitors.

Stores in Worthing, Portslade, Croydon and Hastings have already been closed this year in a bid to get the company back into the black.