Carphone Warehouse to close all standalone stores putting 2,900 jobs at risk
Dixons Carphone is to close all standalone Carphone Warehouse stores, putting 2,900 at risk.
A total of 531 stores, including Trinity Walk in Wakefield and Junction 32 at Castleford, will close effective from April 3 as Dixons Carphone moves it focus on selling mobile phones through its "shop in shops" as well as online.
The mobile phone retailer has shops inside 305 big PC World and Curry's stores, and these will be not affected by the changes.
Almost 1,800 of staff that are affected will take new roles in the business.
The parent company of Carphone Warehouse and Currys PS said that the planned closures are not linked to the coronavirus outbreak.
Dixons Carphone admitted that its struggling mobile phone business will make a £90 million loss this year, and the store closures are a way to bring it back to profitability.
It has been affected by a growing trend among consumers to delay upgrading their mobile phones.
Dixons Carphone said it had not yet seen a large hit from the coronavirus crisis across its core chain apart from supply issues, but is “preparing for one”.
Dixons Carphone said: “We are aware that our stores could experience a significant reduction in sales in the months ahead and we are modelling a range of downside scenarios and planning accordingly.
“We are ready to switch more fulfilment to our online and direct channels and we will manage our costs and cash closely, including a tight control of capital expenditure if necessary.”