Essential reading for retailers and suppliers in the home improvement market

Homebase to close 40 stores over next five years

Published: 1 November 2012
Following its half-yearly results, in which Homebase saw a like-for-like sales drop of 6.2%, Home Retail Group has announced it will be closing up to five stores before the end of the current financial year, and has no plans to open any new ones.
Homebase to close 40 stores over next five years
The retailer has 65 store leases coming up for renewal over the next five years, and says it is planning to close all but 25 of them. This will bring its store numbers to 300. The decision to halt expansion has come from bosses at HRG choosing to focus more on multi-channel development.

Internet sales at the retailer have grown by a quarter year on year and now account for almost 5% of Homebase's total revenue. Its Reserve and Collect sales grew 31% in the 26 weeks to September 1, and now comprise 1.5% of total sales, while website visits are up 20%.

Following the opening of the new Aylesford store proposition, Homebase is continuing with its concession developments, which will now include Laura Ashley and Habitat. The retailer has also continued its programme of garden centre refits to incorporate "inspirational garden displays" - eleven of these refits were completed during the half year, bringing the total to 33.

Despite its sales drop, HRG says Homebase has continued to grow share in the DIY shed market.

Comments

Published prior to March 2014
By Peter Kennedy
In Ireland Homebase is probably as bad as in the UK. Attempting to contact a branch by telephone is impossible - no-one ever answers.

I say GOOD RIDDANCE.
Published prior to March 2014
By Craig
I live in Bolton and have a friend who works for orbit developments, he says that they are in talks with Next Home and The Range to take over the store at the Middlebrook site.

Next currently have two units on Middlebrook so having everything under one roof would make sense.

It's a worry for the Homebase staff i would think, he also tells me that pets and home might be going also.
Published prior to March 2014
By Inside scooper...
I have caught wind from someone very high up that the smaller of the Bedford stores will close. Their lease is not up but they are negotiating terms. How many more of these stores will close?
Published prior to March 2014
By Evolving
Is the Wellingborough store safe?
Published prior to March 2014
By H. O' Mebase
HRG actually closed 13 HB stores in 2013/4 and has been quick off the Mark so far this year. 13 Stores leases have been sold to the Range. In addition at least another 8 individual sites have been announced for closure. This will leave around 300 for now. Some of the sites mentioned in the thread are part of this but some are still not widely known about. Some of the sites are unprofitable or at lease end but not all. Basically HB will listen to any offers for any site however the land lies. This accelerated closure process will continue so watch out for more as the year progresses. The inevitability of this is driven by lack of profitability over the years since Sainsburys sold the chain and a change in the way customers shop. There is no reason for HB to exist any more.
Published prior to March 2014
By Jodie
The Coventry branch in walsgrave is closing too, apparently they will close next month and b and m stores will be taking over
Published prior to March 2014
By Homebase heyday
I think you will find that the landlord has pulled this store rather than Homebase, I believe the landlord can make more money selling to a developer.
Published prior to March 2014
By Jack Howe
Homebase Grimsby closing next month

....Homebase in Kensington, London, one of the highest taking DIY stores in the Homebase chain ...closure to be announced shortly
Published prior to March 2014
By angela
Hi, I work in a store that has had lease renewal and i know of others that have as well. Sad to see stores closing and people out of work but if the store doesnot make money it puts all the colleagues at risk
Published prior to March 2014
By JOHN FLUDGATE
TO ALL STAFF EFFECTED BY THE CLOSURE OF THE HOMEBASE DUNSTABLE BEDFORDSHIRE BRANCH
B & Q DALLOW RD LUTON BEDFORDSHIRE ARE NOW LOOKING TO INTERVIEW FOR POSITIONS
FOR MORE INFO FACEBOOK JOHN FLUDGATE
Published prior to March 2014
By anon
does anyone know if any homebases have had their lease renewed or is it simply a case of stores with a lease running out in the next 5 years will shut - regardless of what the managers are saying?
Published prior to March 2014
By Bert
Jake you really do need to get out more. You seem to be making it your life's quest to gossip about Homebase. Get out more buddy, there must be more to your seamingly pitiful existence than to be following the Homebase gossip.
Published prior to March 2014
By interested party
Any info or details as to when plymouth peverell and homebase carb brea maybe closing?
Published prior to March 2014
By Gave up going to Homebase a few years ago
I simply gave up going to Homebase in Clacton a few years back, as I had so many wasted trips there when they didn't stock what I needed. The range of fixings is very, very poor. B&Q are not much better having said that and I prefer to now use the local independent shops like Burcarts in Clacton or Thorntons in Frinton who offer personal highly knowledgeable service and have never disappointed. They are also much cheaper than the superstores!!
Published prior to March 2014
By .
I'm surprised (judging from their Facebook page) that The Range is being touted as a brilliant example of how to run a retail business.
Published prior to March 2014
By G
I wouldn't say I was happy to see the Clacton store close as homebase can b a handy place to look for things, However the staff within the store are undertrained and seem to know nothing about what they are selling which makes them fairly unhelpful when looking for particular things, (not the staffs fault clearly not enough training given and the company seems to hire a lot of young school leavers which doesn't help) Also as others have said the offers are not genuine to actually warrant buying items which are still overpriced compared to elsewhere, If homebase is to survive in the future they need to take note of other companies and how they operate, B&Q, The range, Wilkinsons.

Argos should also take note
Published prior to March 2014
By Paul L
Homebase RIP you had 28yrs of my service, I still think of the people I left behind ...homebase allways retains its best people LMFAO
Published prior to March 2014
By Anon
Well, that's another store to bite the dust, and yet another 33 members of staff to be made redundant. Lets hope Homebase realise what they are losing from their business.
Published prior to March 2014
By Clifford williams
I'm not surprised if they do close this store,it's pathetic in my opinion, for instance in January/ February this year I wanted some post mix to concrete in a fence post, checked on the internet so as not to waste a trip, internet showed 70 in stock,great I thought,get in the car and drive there, none in stock,assistant looked everywhere,NO!! None in stock!!, that's unforgivable, petrol is not cheap,emailed Homebase complaining,not even an apology, this store should have been shut years go in my opinion,
Published prior to March 2014
By James f
I totally agree with Nick Homebase do rip you off not just on paint and DIY but on Plates and cutlery that dont look very good quality and you can get better buys in saunsburys and the Range, too expensive and not that good quality either.
Published prior to March 2014
By Anon
Re Nick comment. Firstly get your facts right and stop spreading rumours. As an employee at the Clacton branch I can say that although we are under threat of closure it has NOT yet been confirmed. Everyone at the store loves their job and gives great customer service. Do we really need another cheap s*** shop in Clacton ?? Loosing Homebase is a bad thing and one we will all regret - speaking as a customer for the past 20 years as well as an employee. So Nick , keep your nasty , unhelpful remarks to yourself, people will lose jobs and Clacton will fall further down the pan - there is nothing at all to be happy about.
Published prior to March 2014
By Amy
Completely agree with James, it's not just homebase as a comoany but real people with families who could lose their homes, with all the affected stores closing down. Lets just hope you don't suffer bad misfortune in your career Nick!

I personally find all the staff at my local homebase store to be absolutely lovely, and are always efficient snd happy to help, my thoughts are with those who have lost/ are at risk of losing their jobs.
Published prior to March 2014
By Carol
re comments regarding Home base Clacton,I done wish anyone to loses their Jobs, customer service in this store is really bad.
Published prior to March 2014
By James
Do you think it's funny to comment about wishing all the stores to close, forget Homebase as a company, it's real people who are running this company, people with mortgages and kids.

I Actually worked for a Homebase store that closed down last year and yes they might of been expensive on some things, but it's swings and roundabouts, your comment on lack of customer service is just pathetic!, all the staff at my store give a sh*t and did all they could to help customers.

Bet your just one of those people who just just can't keep their big mouth shut and thrive on other peoples misery.

Let's hope nothing bad becomes of you.

Published prior to March 2014
By ghost
Actually homebase is not diy its home enhancement get it right
Published prior to March 2014
By Nick
Clacton homebase is closing down soon in April , I am not surprised that homebase closing stores ,because they are so expensive compare to other DIY stores, you can buy same products from the Range store half of the price in Homebase, and also Homebase after sale service is absolute Crap. I wish all of the close down ,good ridden .
Published prior to March 2014
By the baron
According to the local paper there is a rumour that stevenage homebase might be closing in April.
Published prior to March 2014
By Anonymous
I've heard today that Home base in Clacton is closing early summer 2014
Published prior to March 2014
By Anonymous
I left homebase 2 years ago now,, I knew it was sinking and jumped ship, Iit hasn't been right for years!
Published prior to March 2014
By liskeard
to the guy that says liskeard will be closed because of the fire come see us in summer we will be open bigger and better than ever !
Published prior to March 2014
By anon
Homebase are not in a bad way. They are investing a lot of money in their new re-fit stores (as it states in other articles). Yes they might be closing down 40 stores, but they are re-investing the money in making better stores for us as customers. Think about it before jumping to conclusions.
Published prior to March 2014
By An
Homebase Worcester at Bath Road is due to close soon. Well done Hombase another fine mess you got yourself in
Published prior to March 2014
By An
I work at the store Nic, there is an issue with the lease, Homebase are too tight to cough up the rent. Feel sorry for all the colleagues that work in the stores up and down the country. The management know what's going on but have been sworn to secrecy. I wouldn't expect anything less of the so called board members, lining there own pockets without a second thought to the people who really work
Published prior to March 2014
By Jiggle
I have heard that not only Stevenage store WILL be closing down but also a store in Worcester. Seems like stores a slowing being closed once a lease is up, this is a ticking time bomb for all staff at homebase, they should publicise leases so at least employees can see exactly where they stand
Published prior to March 2014
By johnny
Yeah Look for another job if your lease expires in the next 5 years you can not put any trust in a inflatable HOMEBASE Business
Published prior to March 2014
By Dave
I also heard Stevenage store will be closing?!
Published prior to March 2014
By VIc
I work for Homebase currently but I am leaving soon. Can't trust what your managers say and I am not taking the risk of staying in employment to have it taken out from under me on a whim. My advice to folks in stores whos leases are up in the next 5 years is just start looking for a new job now.
Published prior to March 2014
By Mic James
Surprised that the whole chain isn't going under - expensive prices, cannot buy a thing without having staff pushing their store cards - insurance on goods or customer surveys - I asked about a cheap mower and had a guy go on and on about insurance on it - he said more about the insurance than what the item can do! As for the afore mentioned cancelled orders - tried to buy a sofa only to have lots of issues regarding stock not arriving or not arrived yet and so on - funny thing is they didn't delay in taking cash from my account - and they didn't like it when I got fed up with the excuses and cancelled the order - Homebase Pathetic
Published prior to March 2014
By Nic
How did you find out about the stevenage closure? ive just ordered a kitchen from there. ive been trying to search online to see if this is reported anywhere but can't find any other refference to it
Published prior to March 2014
By An
Just heard Stevenage store will be closing shortly. Nice one Homebase
Published prior to March 2014
By Mrs Confused
Life does not sound good for homebase, store closures, redundancies, cancelled orders...

And they really think liberation will save the day

wake up......think different
Published prior to March 2014
By Geoff small
Do anybody know whats happening about the Newbury store is cos everytime i go in there it never that busy and the staff seem fed up all the time. They dont seem to have the range and stock availability as some other stores
Published prior to March 2014
By Richard Haas
Homebase Reading calcot closed saturday 23rd november at 1 pm i was in there on the last day and all they had left was about 3 isles not enough to fill a small lorry. Sad for the staff who have done a great job there and will always be remembered by the customers who shop there
Published prior to March 2014
By Anonymous
I worked at the homebase Bolton store until it closed a few weeks ago. All staff cared about that place and making it work. Homebase have lost a great team of loyal friendly staff it's a shame the big bosses dont care about there staff what a lovely Christmas present with a shockingly low redundancy payout
Published prior to March 2014
By fut
Hi tom i agree with you homebase will disappear but not completely.i worked at bolton till it closed a week ago.they will close about 150 stores over the next few years and have several display stores set up through the country dealing with internet based orders as far as horwich is concerned they will not be closed
Published prior to March 2014
By Anonymous
From the half year results: Homebase traded strongly through its peak trading period, recording its best half of like-for-like sales performance since acquisition in 2002, and has now achieved 18 consecutive quarters of market share growth in the shed sector.

~

As part of Homebase s ongoing management of the store portfolio, a further three stores were closed in the period. This level of store closures is consistent with its plans at the start of the year. Homebase expect to close a total of around 10 stores in the current financial year and will continue to examine the opportunity for store closures, relocations or downsizes as either leases expire or lease break clauses occur. Over the next five years, Homebase has around 70 store lease renewals or break clauses due.



Published prior to March 2014
By ghost
I work for one of the stores ,if ppl were to research a bit more they may have facts. homebase are actually closing stores with lease renewels as u may have heard its one if the ways of saving money last i heard homebase was still making a profit and are a good company to work for
Published prior to March 2014
By Tom
Are you guys sure? i've been told that bolton and horwich are to go from several people.

Both stores are always empty to be fair, high prices are the killer of any company, that coupled with bad higher up management who don't change with the times. won't be long before Homebase vanishes from the high street for good.
Published prior to March 2014
By Mike
Not surprised their closing a fair few branhces. Flickflack thinks they have genuine discounts. How can a company have 15% or 20% off along with additional offers like 60% off kitchens if the have genuine discounts. Something has to pay the bills wages etc and if they were genuine they could not offer those discounts. They survive by exploiting the consumer as well as their low paid staff. Theyve had a decent run but I think most consumers are getting wise to this outrageous marketing strategy of offering money off a fictional figure they make up
Published prior to March 2014
By anon y mous
The homebase in Bolton is closing not the Horwich store.

Sunday premiums were legacy payments and have not been offered on new contracts for at least 5 years, bank holiday payments have not been offered on new contracts for at least 12 months.
Published prior to March 2014
By Chris Sammut
To all those effected. I understand well. Who is looking for what to do next, I might be able to help you guys. I started my own business thanks to a very great company. 07940418212, if interested. It s all over the UK and global round 150 countries. Good luck
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