Dobbies to close 17 outlets to reduce rent costs

Dobbies Garden Centres has said 17 of its stores will close before the end of the year

Garden centre group Dobbies has revealed plans to shut 17 stores before the end of the year, in a move which will hit 465 jobs.

The company says it is putting in place a restructuring plan to address "historically uneconomical rent costs and ensure a return to sustainable profitability".

Among those affected by the closures are the Gloucester, Altrincham, Gosforth, Huntingdon, King's Lynn, Pennine and Stratford-upon-Avon garden centres.

Dobbies has said all sites will continue to operate until the restructuring process is given the green light.

The garden centre chain fell to a £105.2 million pre-tax loss in the year leading up to March 2023, against a £7 million loss a year prior.

The Little Dobbies shops in Cheltenham and Bristol, Chiswick, Richmond, Stockbridge, and Westbourne Grove are also affected.

In a statement, Dobbies said the closures would "secure its long-term future and allow access to future investment".

A spokesperson said: "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."

The closures will affect 465 employees, including 82 full-time workers, of the company’s roughly 3,600 strong workforce.

Dobbies added it is hoping to work with landlords to seek temporary rent reductions at a further nine sites.

'Close by end of year'

"Subject to the restructuring plan being successfully approved, we expect the affected sites to cease trading by the end of the year," Dobbies said.

"Thereafter, Dobbies will operate 60 stores and continue to play a key role in the market, working constructively with stakeholders and suppliers, and having an active and committed role in the communities in which it’s based."

Dobbies added there will be "no impact" to suppliers.