Marks and Spencer to close 67 stores over next five years
Marks and Spencer announces it will be closing 67 stores over next five years
- Marks and Spencer will close 67 stores down over the next five years
- The closures are part of a previous announcement to close 110 stores
- The 67 stores will be closed at an accelerated rate, possibly in three years
Marks and Spencer has announced it will close 67 stores over the next five years as part of a major restructure.
The high street retailer says some of its ‘lower productivity, full line stores’ will be closed in an effort to save £300million and reduce a £100million energy bill.
Despite the tough economic conditions M&S also announced that it will be opening 104 new ‘bigger and fresher’ food stores – increasing the total number of ‘Simply Food’ shops from 316 to 420.
In a presentation to investors, M&S said it aims to have 180 ‘full-line’ shops – which sell food, clothing and homeware products – by early 2028, down from 247.
The plan is set to take place over the next five years, but bosses are aiming for it to be completed in three.
M&S previously announced 110 stores will close, the 67 stores announced today are included in this figure but will be accelerated.
Marks and Spencer has not confirmed which stores will be closing.
Marks and Spencer has announced it will close 67 stores over the next five years as part of a major restructure.
Marks and Spencer has closed 68 stores in recent years in an effort to cut its rent bill.
During the pandemic specifically, M&S closed more than 30 stores and leaving around 254 shops selling both food and clothes.
But a downturn in clothing and home sales has caused M&S to shift its focus towards food sales.
In September, M&S announced it was to give thousands of workers their second pay rise this year.
It means a full-time customer assistants at M&S now earn over £100 more each month compared to October 2021.
Speaking after the announcement that 110 stores would be closed, Steve Rowe, Chief Executive said: ‘Given the history of M&S we’ve been clear that we won’t overclaim our progress. Unpacking the numbers isn’t a linear exercise and we’ve called out the Covid bounce back tailwinds, as well as the headwinds from the pandemic, supply chain and Brexit, some of which will continue into next year.
‘But,thanks to the hard work of our colleagues, it is clear that underlying performance is improving, with our main businesses making important gains in market share and customer perception. The hard yards of driving long term change are beginning to be borne out in our performance.’
M&S said: ‘At the year-end we set out our goal of achieving a modernised full line estate of c.180 stores through store rotation, reflecting the accelerated channel shift post pandemic. Rotation means closing at least 110 locations and relocating to either a new full line or food-only store and in many cases consolidating multiple stores into one.’
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