Marks & Spencer to spend £480m boosting retail estate

M&S, which last week posted bumper Christmas trading, said the move would create 3,400 jobs.

Stuart Machin, chief executive, said: “Stores are a core part of M&S’s omni-channel future and serve as a competitive advantage for how customers want to shop today.

“Our store rotation programme is about making sure we have the right stores in the right place with the right space.”

A total of 20 larger shops will be opened in the 2023-24 financial year, including eight full line stores offering clothing, homewares and food. Five of those will open in former Debenhams sites.

The retailer also intends to open 12 new food halls alongside the full line stores, and will extend its convenience offering by expanding its franchise model. It currently has franchise partnerships with BP, Moto, SSP and Costa.

It is also investing in digital services, however, with its online click and collect service rolled out to 130 stores.

Overall, M&S – which first announced in October a shake-up of the estate, including plans to close 67 “lower productivity” sites – intends to have 180 full line stores and 420 food stores by the 2025-26 financial year. It currently has 247 full line shops.

As at 1015 GMT, shares in M&S were ahead 1% at 147.88p.