Today’s news in brief-24/1/25
Morrisons has announced plans to cut over 200 jobs as part of a restructuring effort aimed at reducing costs and enhancing operational efficiency. The proposed changes include the removal of regional people managers, store people managers, and case specialists. The company intends to replace these roles with a centralised structure, featuring new central HR and employee relations positions to provide direct support to supermarkets. The decision comes after a review of Morrisons’ People structure, and the affected employees are currently undergoing a 45-day consultation process.
Iceland has announced over 600 new job opportunities nationwide. The roles include retail staff, home delivery drivers, and management positions, as the company expands its presence, operating more than 950 stores across the UK.
Consumer confidence in the UK has taken a sharp hit in January, with GfK’s Consumer Confidence Index revealing a five-point decline to -22. Expectations for the general economic situation over the next 12 months dropped significantly, falling by eight points to -34, which is notably worse than figures from January 2024. The index also showed a decline in personal financial outlooks and purchasing intentions.
The Works reported a 1.3% increase in revenue to £134.2m in the first half of FY25, despite challenging market conditions. The arts and crafts retailer managed to narrow its losses significantly, reducing its adjusted EBITDA loss from £8.5m to £2.8m, aided by cost-saving measures. While like-for-like sales fell by 0.8%, store sales rose marginally by 0.9%, driven by strong seasonal product ranges and fiction book sales. However, online sales dropped by 14.7% due to reduced promotional activity and operational issues at its third-party fulfilment centre.
Burberry faced a 7% year-on-year revenue decline to £659m in Q3. Comparable store sales fell by 4%, with regional declines in EMEIA and Asia Pacific offsetting growth in the Americas. Sales in Mainland China, a key market, dropped by 7%, while Japan saw a 4% rise. Despite the revenue decline, Burberry’s outerwear and scarf collections performed well globally. The company launched marketing campaigns, including “It’s Always Burberry Weather” and “Wrapped in Burberry,” which boosted brand desirability.
Victoria’s Secret announced the opening of its first premier Midlands store at Derbion shopping centre in Derby. The new store will occupy 5,712 sq ft on a 10-year lease, expanding the brand’s presence in the region and marking its growth in the UK market. Previously housed within Next, Victoria’s Secret will now operate from its own dedicated unit. The move reflects the company’s strategy to enhance its visibility and customer engagement across key retail destinations.
