Ikea to close Tottenham store in £1bn plans to speed up home deliveries in London
Ikea has revealed it will be shutting shop at its Tottenham store, with some 450 employees set to be impacted.
However, Ikea said it has plans to retain as many individuals as possible. It is also planning to create some 600 vacancies in the capital before the store shuts.
The North London store will remain open with normal opening hours until further notice, the retailer said on Wednesday.
Bosses were prompted to shut the store after a surge in online sales during the pandemic as well as a redevelopment of the site’s area.
Peter Jelkeby, country retail manager and chief sustainability officer, IKEA UK & Ireland said the firm would “lead with respect and compassion” throughout a consultation process.
He added: “The decision to propose closing the Tottenham store has not been taken lightly but we believe it is the right thing to do for our customers and business as we strengthen our position for the future.
“We will do everything we can to support the co-workers affected and our hope is that as many as possible will continue their career journey with us.”
The Swedish furniture retailer said it will pump more than £1bn into the capital city over the next three years.
It comes as the company opened a smaller format store in Hammersmith last month.
The ready-to-assemble furniture maker is to open a new fulfilment centre in Dartford in December 2022, in a bid to unlock 24-hour deliveries for the capital.
Ikea has also snapped up the former Topshop flagship store on Oxford St, in a bid to boost its experiential retail presence in the capital.
London’s five other Ikea stores, in Croydon, Greenwich, Hammersmith, Lakeside and Wembley, are to remain open. The stores will also see cash injections to aid speedier home deliveries.
Retail trade union Usdaw said it would now enter into consultation talks, describing the news as “devastating” for staff.
Usdaw national officer Dave Gill added: “Our priorities are to seek redeployment opportunities, avoid compulsory redundancies and secure the best deal we can for staff. In the meantime Usdaw is providing our members with the support, advice and representation they need through this period of uncertainty.”