MORE John Lewis stores could close as retail giant records pre-tax losses of £517 million for the year to January 30
- Retail giant John Lewis Partnership has warned over further store closures
- The company, which owns Waitrose, revealed its annual pre-tax loss for the year
- The losses are a striking contrast compared to the profit of £146 million last year
John Lewis Partnership has warned over further store closures as it reported losses of £517 million.
The retail giant, which owns Waitrose, revealed its annual pre-tax loss for the year ending January 30 after its department stores business was hammered by lockdowns and pandemic-related costs.
The group said it does not expect all its John Lewis shops to reopen at the end of lockdown. Its stark losses are a striking contrast compared with the profit of £146 million recorded last year.
It has not yet been revealed how many of its 42 John Lewis shops are under threat, but the group confirmed it was in talks with landlords and will make a final decision at the end of March.
Recent reports suggested another eight stores were earmarked to be shut, on top of eight announced in July.
Retail giant John Lewis Partnership has warned over further store closures as it reported pre-tax losses of £517 million for the year to January 30
The group also scrapped its staff bonus for the first time since 1953, as previously reported, after the coronavirus crisis sent it plunging to the hefty loss for the year to January 30 against profits of £146 million the previous year.
Chairman Sharon White said: ‘There is no getting away from the fact that some areas can no longer profitably sustain a John Lewis store.
‘Regrettably, we do not expect to reopen all our John Lewis shops at the end of lockdown, which will also have implications for our supply chain.
‘We are currently in discussions with landlords and final decisions are expected by the end of March.
‘We will do everything we can to lessen the impact and will continue to provide community funds to support local areas.’
The news is the latest hammer blow to Britain’s high streets – which were already under immense strain before the coronavirus pandemic.
Supermarket chain Morrisons saw its pre-tax profits halve to £201million last year despite a massive jump in sales as the group was hit by a higher-than-expected £290million in pandemic-related costs.
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