Has Dunnes Stores abandoned UK market?
The closure of five Scottish stores and one of two remaining in England have signalled that Dunnes Stores intends to completely pull out of the UK grocery retail market.
23 March 2018 | 0
Dunnes Stores appears to be moving to completely exit the British retail market, after the closure of several stores in Scotland and England in recent months have left just one store remaining. This rapid downsizing is in stark contrast to reports some years ago that the family-owned Irish chain planned to open up to 40 new stores in the UK.
The Irish Independent reports that all five of Dunnes Stores’ Scottish stores have closed in recent months. Meanwhile one of two remaining stores in England recently announced that it would cease trading.
Less than three years ago, Dunnes had five stores in Scotland and six in northern England and there were reports in Britain that the company was considering scaling up the business by acquiring an additional 40 stores.
According to unconfirmed reports, the reason given to staff of the closing stores was that Dunnes was “pulling out of the UK market with Brexit future costs the main contributor to the decision.”
The closure of the store in Heywood, Lancashire leaves a store in Northampton the only Dunnes Stores left in England.
The Independent’s sources said Dunnes Stores had “an issue with scale” in Britain and may have faced a decision to either ramp up or exit the market.