John Lewis losses widen to £124m as shopper confidence dips

Losses at the John Lewis Partnership, which operates 36 department stores and over 300 Waitrose supermarkets, widened by over 40% in the first half of the year. The company’s pre-tax loss climbed to £124 million, compared to £88 million in the same period in 2025. Jason Tarry, the chair, attributed the decline to continued investment in transformation, a challenging trading environment, and increased operational costs, including higher national insurance contributions and managing through heatwaves.

The group is implementing a turnaround plan, closing 16 department stores and at least 20 Waitrose outlets, and cutting thousands of jobs. While Waitrose sales rose by 4% to £4.3 billion, John Lewis sales fell by 2% to £2 billion. Overall, half-year sales increased by 2% to £6.3 billion.

Peter Ruis, head of the department store arm, stepped down after less than three years, replaced by Will Kernan, former boss of River Island. In March, the company paid a 2% bonus to 69,000 workers for the first time in four years, following a 6% rise in underlying profit. However, weak consumer spending due to heatwaves and rising living costs has deterred high-street shopping, shifting focus to online alternatives.

The retailer anticipates better performance in the second half, particularly during the Christmas trading period.

Source: The Guardian