Morrisons to Close 100 Stores as Costs Soar, June 04

Morrisons has confirmed the first seven closures of a planned 100-store shutdown across its Morrisons Daily convenience chain. The supermarket giant blamed loss-making stores acquired from McColl’s in 2022 and rising costs from government policy, including National Insurance and national living wage increases, for the decision. Hundreds of jobs face redundancy.

First Seven Stores Named

Morrisons confirmed seven Yorkshire-area Morrisons Daily stores will close in 2026. The affected locations are Fairfax Avenue in Hull, Esk Close in Guisborough, Zetland Road in Loftus, Stokesley High Street in Middlesbrough, Queen Street in Redcar, Middle Street in South Driffield, and Woodthorpe in York. The company said these stores have been loss-making for years despite remedial action. Standard Morrisons supermarket branches will not be impacted by the closures.

Why Morrisons Is Cutting Stores

The 100 closures stem from Morrisons’ 2022 acquisition of McColl’s convenience stores, which it rebranded as Morrisons Daily. A Morrisons spokesperson stated that performance reviews identified stores with challenged performance that remain unprofitable. Rising costs from government policy choices, including National Insurance and national living wage increases, have made returning these stores to profitability even more difficult. The company said it will focus on opening new franchise stores instead.

Jobs and Staff Support

Hundreds of convenience store staff face redundancy as a result of the closures. Morrisons said it will commence a consultation with affected employees shortly. The company stated it would attempt to find other opportunities for impacted staff in its supermarket, logistics, and manufacturing operations, citing a strong track record of internal redeployment. Morrisons will continue serving customers through nearby stores and online where closures occur.

Broader Retail Crisis

Morrisons’ closures reflect a wider UK high street downturn. Leading Labels, a discount fashion retailer selling Calvin Klein and Wrangler, entered liquidation and is closing all 15 stores. Radley accessories, Quiz clothing, and restaurant chains Franco Manca and The Real Greek have also announced closures. The closures come as Morrisons faces additional pressure, finishing bottom of a government compliance league table for supplier treatment in April 2026.

Final Thoughts

Morrisons’ 100-store closure plan reflects mounting pressure on UK retailers from rising costs and weak store performance. With hundreds of jobs at risk and the company focusing on franchise expansion, the data points to a strategic retreat from unprofitable company-owned convenience stores.

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