Dobbies: Almost 500 jobs at risk as garden centre giant to shut 17 sites
The company has roughly 3,600 staff
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Garden centre group Dobbies has revealed plans to shut 17 stores. The a move which will hit 465 jobs.
Dobbies Garden Centres said the proposed closures are part of a restructuring plan to help return the business to profit and reduce its rent bill.
The plan, which will need approval by creditors, will see the firm shut 11 larger Dobbies sites and six Little Dobbies by the end of the year.
The Dobbies stores set to close are:
- Altrincham
- Antrim
- Gloucester
- Gosforth
- Harlestone Heath
- Huntingdon
- Inverness
- King’s Lynn
- Pennine
- Reading
- Stratford-upon-Avon
Little Dobbies
- Cheltenham
- Chiswick
- Clifton
- Richmond
- Stockbridge
- Westbourne Grove
Sites will continue to operate as normal until the restructuring process is given the green light.
The group said the closure will affect 465 workers, of which 82 are full-time, of the company’s roughly 3,600 strong workforce.
Dobbies will also work with landlords in order to secure temporary rent reductions at nine further stores.
It stressed that the process will not affect its suppliers.
The garden centre chain, which was bought by investment firm Ares Management last year, fell to a £105.2 million pre-tax loss in the year to March 2023, against a £7 million loss a year earlier, according to its most-recently filed company accounts.
The company 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, securing its long-term future and allowing access to future investment.
“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.”
Tesco Plc agreed to sell its Dobbies Garden Centres chain for £217m in 2016. The supermarket giant had owned the gardening brand since 2007 but was sold to focus on reviving its main supermarket business.
“It was a difficult decision to sell the business, but we believe this agreement will give Dobbies a bright future, while allowing our UK retail business to focus on its core strengths,” chief executive officer Dave Lewis said at the time.