Dobbies Garden Centres, a prominent garden centre group, has announced plans to close 17 of its stores across the UK by the end of the year. This decision is part of a strategic restructuring initiative aimed at tackling “historically uneconomical rent costs” and steering the company back to sustainable profitability.
The closures are expected to impact 465 jobs, including 82 full-time positions, from its workforce of approximately 3,600 employees. Among the affected locations are major centres in Gloucester, Altrincham, Gosforth, Huntingdon, King’s Lynn, Pennine, and Stratford-upon-Avon. Additionally, several Little Dobbies outlets in Cheltenham, Bristol, Chiswick, Richmond, Stockbridge, and Westbourne Grove will also be closing their doors. In a statement issued by Dobbies, the company emphasized that these closures are essential for “securing its long-term future and allowing access to future investment.”
A spokesperson for Dobbies stated: “The restructuring plan and other strategic initiatives are expected to return Dobbies to sustainable profitability through site rationalisations, rent reductions, and other tangible cost savings,” as reported by the BBC. Furthermore, Dobbies is actively seeking temporary rent reductions at an additional nine sites as part of its ongoing negotiations with landlords.
The company has assured that all stores will continue operations until the restructuring plan receives approval. “Subject to the restructuring plan being successfully approved, we expect the affected sites to cease trading by the end of the year,” Dobbies noted in their statement. They also confirmed that there would be “no impact” on suppliers.
Scottish Stores Among Those Facing Closure
As part of this extensive closure plan, two Scottish stores are at risk: a main site in Inverness and a Little Dobbies in Edinburgh’s Stockbridge. The Inverness Courier reported that more than 30 jobs could be affected by the closure of the Inverness location. Commenting on the closures to National Scot,
Dobbies reiterated their commitment to addressing uneconomical rent costs as a means to ensure long-term profitability. The restructuring plan involves closing 11 larger sites and six Little Dobbies stores across the UK. Retail Gazette highlighted that these closures target “unprofitable” locations and will affect 465 employees out of Dobbies’ total workforce.
Dobbies Garden Centres is currently working with advisers from FTI Consulting on this restructuring process. Sky News noted that Ares Management, a major American investor controlling Dobbies, is overseeing these efforts. While an exact date for the store closures has not been confirmed, it is anticipated that operations at these sites will cease by year-end. Despite these changes, Dobbies aims to maintain its presence with 60 operational garden centres moving forward.
