Major retailer with 500 branches announces permanent closure of store
A MAJOR retailer has confirmed the closure of one of its stores after shutting another in February this year.
Next, which runs around 500 UK branches, has pulled down the shutters on a Home store in Northern Ireland.
The fashion and homeware retailer said the outlet at Sprucefield Retail Park in Lisburn has closed permanently.
The Next clothing store in nearby Sprucefield Shopping Centre remains open.
A spokesperson for the chain said the Home outlet closed its doors to the public “a few weeks ago”, Irish News reports.
Shoppers have shared their disappointment and sadness after finding out the branch is no more.
Posting on Facebook, one said: “Sad the way all the shops are closing.”
Another said: “Oh my goodness didn’t know that.”
Meanwhile, a third shopper simply said: “Gutted!”
It comes after Next closed a Home branch in Derry, Northern Ireland, in February this year.
The homeware and furniture store closed at the Link Retail Park after its lease came to an end.
A spokesperson said all staff were offered roles at nearby stores.
It didn’t stop shoppers and locals sharing their dismay though, with one branding the closure “so so sad”.
Another blamed online shopping, adding: “So sad to read this.”
It comes after Next said it would close 11 stores in its results last year.
It has seen branches shut in Ipswich, Suffolk, as well as Hatfield in Hertfordshire and Newcastle since.
But it’s not all bad news as Next has also opened four new outlet stores in recent months.
The Outlets feature a selection of outlet products, past season collections and clearance items at discounted prices.
Meanwhile, in its most recent trading statement, Next said its full price sales were up 4.4% in the first half of the year compared to the same time period in 2023.
It also increased its profit guidance for the full year by £20million to £980million.
Profit guidance is a report made by a company to shareholders predicting what they expect their profits to be for the fiscal year.
The Sun approached Next for a comment.
What else is happening on the high street?
The high street has been hit hard in recent years, particularly since the coronavirus pandemic when many businesses were forced to close their doors to the public.
High energy and wage costs, as well as business rates, have seen many retailers having to shutter stores.
Some big high street names have been lost since the start of 2023.
Wilko and Paperchase have both collapsed into administration, seeing hundreds of shops close and thousands of staff lose their jobs.
Wilko falling into administration left shoppers gutted as they visited their local stores for the final time to say goodbye to staff.
Other retailers have announced vast swatches of closures too, including Boots, which is shuttering 300 stores.
More recently, iconic chain Ted Baker has fallen into administration while popular beauty brand Morphe has shuttered seven branches.
But it’s not been all bad news across the sector.
Discount giant B&M has opened 27 branches this year, while Aldi has its eyes set on opening hundreds more stores in the coming years.
DIY chain Screwfix is also set to open dozens of branches as its owner Kingfisher looks to expand its nationwide presence.
And Lidl is eyeing up potential sites where it is keen to open shops while Paperchase has since returned inside Tesco branches.
Why are retailers closing stores?
RETAILERS have been feeling the squeeze since the pandemic, while shoppers are cutting back on spending due to the soaring cost of living crisis.
High energy costs and a move to shopping online after the pandemic are also taking a toll, and many high street shops have struggled to keep going.
The high street has seen a whole raft of closures over the past year, and more are coming.
The number of jobs lost in British retail dropped last year, but 120,000 people still lost their employment, figures have suggested.
Figures from the Centre for Retail Research revealed that 10,494 shops closed for the last time during 2023, and 119,405 jobs were lost in the sector.
It was fewer shops than had been lost for several years, and a reduction from 151,641 jobs lost in 2022.
The centre’s director, Professor Joshua Bamfield, said the improvement is “less bad” than good.
Although there were some big-name losses from the high street, including Wilko, many large companies had already gone bust before 2022, the centre said, such as Topshop owner Arcadia, Jessops and Debenhams.
“The cost-of-living crisis, inflation and increases in interest rates have led many consumers to tighten their belts, reducing retail spend,” Prof Bamfield said.
“Retailers themselves have suffered increasing energy and occupancy costs, staff shortages and falling demand that have made rebuilding profits after extensive store closures during the pandemic exceptionally difficult.”
Alongside Wilko, which employed around 12,000 people when it collapsed, 2023’s biggest failures included Paperchase, Cath Kidston, Planet Organic and Tile Giant.
The Centre for Retail Research said most stores were closed because companies were trying to reorganise and cut costs rather than the business failing.
However, experts have warned there will likely be more failures this year as consumers keep their belts tight and borrowing costs soar for businesses.
The Body Shop and Ted Baker are the biggest names to have already collapsed into administration this year.
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