Yorkshire stores at risk as Homebase announces 42 closures
Homebase has announced plans to close a number of stores by early 2019.
The company provided a list of 42 stores marked for potential closure, endangering as many as 1,500 jobs.
Wakefield’s Ings Road store was not among the list of closures.
Homebase has announced plans to launch a Company Voluntary Arrangement (CVA), which will allow them to seek arrangements with creditors.
The CVA will allow the company to make changes to its store portfolio and create a strong platform on which to continue its turnaround. Creditors will vote on the CVA on August 31.
It is anticipated that the 42 stores will close in late 2018 and early 2019.
In a statement, the company said: “Homebase’s sales performance and profitability declined significantly under the previous ownership over the last two years. In addition, the company has faced an extremely challenging retail trading environment reflecting weak consumer confidence and reduced consumer spending. These factors have had a significant adverse impact on Homebase’s trading position.
“After a comprehensive review, Homebase has concluded that its current store portfolio mix is no longer viable. Rental costs associated with stores are unsustainable and many stores are loss making.”
The list of proposed closures includes the chain’s Whitby and Bradford stores.