Morrisons has announced plans to close over 100 under-performing company-owned Morrisons Daily stores, including two in Scotland.
The retailer explained that all the outlets set for closure were previously McColl’s stores, which had failed to perform, and that the increases in National Insurance Contributions (NIC) and National Living Wage (NLW) had amplified the issue.
Morrisons also highlighted its intention to grow its convenience business by adding “hundreds more” franchise shops.
A spokesman said of the planned closures:
“The performance of all company-owned stores across our convenience business is subject to continuous review. This process has identified a number of stores, which were part of the McColl’s acquisition, whose performance has been challenged for a number of years and which are loss making, despite remedial action. This situation has been exacerbated in more recent years by significant cost increases resulting from Government policy choices (NIC and NLW), which have made returning these stores to profitability even more difficult.
“Having completed the review, we are now proposing to take the tough but necessary decision to close a number of these stores over the next few months.
“Regrettably, the proposal means that some of our Convenience store colleagues will now be at risk of redundancy and a consultation will commence shortly. We understand this will be difficult news for them and we will be providing these colleagues with all necessary support. This will include finding other opportunities for impacted colleagues elsewhere in the business wherever we can, in our supermarket, logistics and manufacturing operations and we have a strong track record of achieving this historically. We will also work hard to mitigate the impact on customers, continuing to serve them through other nearby stores and online.”
When discussing the future growth of the company’s convenience arm, a spokesman said:
“Expansion of our Convenience business is a core part of Morrisons growth strategy. We currently have around 1,700 convenience stores, opening more than 120 new franchise stores last year, and we have a robust plan in place for further expansion in 2026. We continue to see the opportunity to open hundreds more franchise convenience stores in the years ahead.
“The combination of the proposed closure of loss making stores and the continued addition of attractive new franchise openings will enable us to concentrate on those stores which work best for customers, improving the quality of our convenience estate and making it stronger overall.”
