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Morrisons Slashes Costs by Closing 52 In – store Cafés in the UK

by Crystal-cq

UK supermarket chain Morrisons has declared its intention to close 52 in – store cafés within the next few months. This is a key part of a large – scale cost – savings initiative.

Morrisons, which has 400 cafés spread across its 500 supermarkets, ranks as one of the UK’s major non – specialist coffee shop operators. As a consequence of these closures, around 365 staff members are at risk of losing their jobs.

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In a press release, Morrisons explained that the operational costs at the affected locations are “substantially inconsistent with usage, volumes, or the value that customers attribute to them”. The retailer’s florist, meat, fish, and pharmacy counters, along with 17 Morrisons Daily convenience stores, will also be affected by this decision.

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Rami Baitiéh, the CEO of Morrisons, stated, “Morrisons Cafés are justly renowned for their high – quality, reasonably – priced food, their role in the local community, and their appealing combination of traditional favorites and exciting new dishes. In most places, the Morrisons Café has a promising future. However, a small number of them face specific local challenges. Unfortunately, in those cases, closure and re – allocation of the space is the only practical choice.”

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Baitiéh further added that in some supermarkets where the cafés are set to close, Morrisons will collaborate with third parties to offer a “relevant specialist offering”. The supermarket chain already has Costa Express self – serve coffee machines in operation at some of its stores.

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Established in 1899, Morrisons was traditionally regarded as one of the UK’s Big Four supermarkets, alongside Tesco, Asda, and Sainsburys. However, in 2022, discount competitor Aldi overtook it in annual sales, pushing Morrisons down to fifth place.

In March 2023, Morrisons announced plans to reduce costs by £700m ($904m) over the next three years to keep prices low during the cost – of – living crisis. Signifying that its turnaround efforts are bearing fruit, Morrisons reported its strongest quarter since the start of 2021 for the three months ending on 27 October 2024, with a 4.9% growth in like – for – like sales.

In January 2025, rival Sainsbury’s announced its intention to cut 3,000 jobs and close its remaining 61 in – store cafés as part of a restructuring plan. The aim is to streamline the business and save £1bn ($1.3bn) over the next few years.

Sainsbury’s previously operated 200 Sainsbury’s Cafés but started closing locations in March 2022 as part of an overhaul of its food and beverage offerings. This move has led to Sainsbury’s expanding its The Restaurant Hub concept with Boparan Restaurant Group (BRG) and increasing the number of in – store Starbucks and Costa Coffee concessions throughout its network.

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