B&M shuts 49 UK stores

B&M Stores has shut 49 of 656 UK stores as result of a fall off in trading over recent weeks. The group, which also owns the Heron Food business, has been able to operate its stores as it falls under the government’s “essential products” guidelines. However, it said it had “reluctantly decided” to close 49 UK stores because of current trading conditions affecting those locations. The retailer said the 49 were typically small-format stores, with some located in shopping centres that have ceased trading. Some 42 of the 49 are close to larger B&M stores. “We will review the trading patterns on an ongoing basis and intend to reopen those stores as soon as normal shopping patterns resume,” said B&M. The closures represent 3% of 2020 full-year revenue and 2% of operating profit. All staff at the closed stores have been furloughed under the government’s coronavirus job retention scheme. The rest of B&M’s store estate in the UK continues to trade, as do its 293 Heron Foods stores. The retailer’s 101 stores in France under the Babou and B&M fascias are currently closed, however. B&M said: “We are grateful to our committed and hard-working colleagues for their remarkable effort and dedication in our stores and supply chain functions in helping customers at this very challenging time. To reward our store and distribution colleagues, the UK business is now paying 10% enhancement to pay rates to reflect the additional workload that the guidelines impose. We have extended our B&M staff discount scheme to all NHS workers and are donating £1m of food and toiletries to food banks across the UK.”   To send feedback, e-mail samantha.mcclary@egi.co.uk or tweet @samanthamcclary or @estatesgazette