Homebase to Close Third of Stores in UK

Isabel Hamilton
6th February 2018, 12:00 PM
  • Poor performing stores will close
  • Over 2,000 jobs could be lost
  • One of many brands facing tough sales
Your local Homebase could be closing down this year. Image:Getty

DIY chain Homebase could be shutting up to 40 stores, which will cost 2,000 employees their jobs.

Wesfarmers, the Australian owner of Homebase’s parent firm Bunnings UK, is carrying out a review of the business to make it more efficient.

The potential store closure comes following a poor January for the high street, which has seen the cost of goods rocket, however consumer confidence has recently risen.

Rob Scott, the Managing Director of Wesfarmers, said, “The Homebase acquisition has been below our expectations, which is obviously disappointing.

“In light of this, a review of Bunnings UK has commenced to identify the actions required to improve shareholder returns.”

The Australian group said that between 20 and 40 of the worst performing Homebase stores will close down this year.

Homebase currently has 250 stores with 12,000 employees.

Mr Scott added, “We need to address underperformance in our portfolio that is detracting from positive performance in other areas.”

As well as revamping stores and slashing prices, Homebase is in the process of being rebranded as Bunnings.

Toys R Us, Sainsbury’s, Tesco, and Morrisons are among those who are also closing stores, as they have struggled to keep up with the rise of bargain retailers undercutting them on price.

Do you still shop at Homebase? Let us know in the comments!

Comments
afrew43
afrew431 year ago

Morrisons are not closing stores at all! They are stripping ouout a layer of unnecessary management roles and redeploying where possible.

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KarenMassey
KarenMassey1 year ago

I like Homebase. I hope the store remains open in our town

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Hammymum
Hammymum1 year ago

Homebase is a great store and I always get what I need shopping there .

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