Greggs shuts 56 stores amid ‘challenging start' to the year – has your local closed?

Scottish Sun

4 days ago

The bakery chain is also planning to open 150 stores in 2025
ON A ROLL Greggs shuts 56 stores amid 'challenging start' to the year – has your local closed?
GREGGS has shut more than 50 stores already this year as it reported a "challenging start" to 2025.
The high-street bakery chain said its profits had been hit by winter storms and summer heatwaves, as well as shoppers being cautious over their spending.
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Greggs has closed 56 stores so far this year as it reported a 'challenging start' to 2025
Credit: Getty
Greggs has closed 56 stores in the first half of the year, leaving it with 2,649 shops at the end of June.
Some of the closures reported this year - 27 of which it said were "relocations" - include its branch in Ilford, East London, as well as Lancashire, Cambridge, and Buckinghamshire.
However, the full list of its 56 closures is yet to be revealed.
The chain has also opened 87 new stores this year, with bosses saying they hope to open between 140 and 150 new branches in 2025.
The retail business has plans to expand to 'significantly more than 3,000' sites across the UK.
Greggs' boss said that many consumers are 'saving rather than spending' due to continued pressure on their household finances.
The Newcastle-based business revealed that pre-tax profits fell by 14.3% to £63.5 million for the half-year to June 28, compared to a year earlier.
It said the first half of 2025 was impacted by 'challenging market footfall, more weather disruption than in 2024' and increased costs.
Earlier this month, Greggs told shareholders that soaring temperatures in June dragged on demand for its hot food over the month.
It added this week that heavy snow and strong winds in January also hit demand.
Greggs' boss Roisin Currie said it has experienced 'challenging' conditions on the high street this year.
Greggs Steak & Cheese roll appeal
'If you look at all the consumer confidence data, it remains low and points to cautious and fragile customers,' she said.
'They are saving rather than spending and that means they aren't out and about on the high street as much.
'Customers are worried about their finances and being very careful about their spending, but we do think Greggs is in a positive position because of our strong value offer.'
Sales still grew by 7% to £1.03billion for the half-year, Greggs added, as it was buoyed by new stores.
It said like-for-like sales across company-managed stores grew 2.6%, with 4.8% growth across franchise sites.
Greggs confirmed closures High Road, Ilford, East London - closed in June
- closed in June Fitzroy Street, Cambridge - closed on March 31
- closed on March 31 Lytham, Lancashire - closed on March 28
- closed on March 28 Foleshill, Coventry - closed on January 4
- closed on January 4 Amersham, Buckinghamshire - closed on January 18
Ms Currie added: 'After a challenging start to 2025 we remain clear on the strategic opportunities that lie ahead.
'Through our disciplined estate expansion and focus on innovation, Greggs is evolving its offer further and making the brand more convenient for a wider range of customers.
'The outlook for cost inflation is unchanged and we are making great progress in building the supply chain infrastructure that will support the next phase of growth.'
She also said that more than 30% of Greggs' products were now "healthy" options, adding that the business was continuing to work with the government and food standards agencies to help tackle the obesity.
She gave examples of its turmeric shot, its range of salads, and its flatbreads as some of its healthy options.
Asked about the impact of fat jabs like Ozempic on Greggs' profits, she said she didn't think it was a "significant factor".
However, Ms Currie said that there was "no doubt" fat loss jabs were changing some people's portion sizes and the type of food they eat, adding that this trend was informing Greggs' snack offering.
Mark Crouch, market analyst at EToro, said: 'Greggs has long been a reliable read on the UK high street.
'Its sudden stumble suggests consumers may not just be cooling on sausage rolls, but that appetite across the high street may be waning more broadly.
'With inflation easing and real wages recovering, the macro backdrop should, in theory, be supportive. That it isn't showing up in Greggs' numbers is a red flag.'
Greggs shares were 2.2% lower in early trading on Tuesday.
Meanwhile, Greggs launched a shake-up to its menus last week for summer, with the new line-up now available in stores nationwide.
A Chipotle Chicken Baguette and Flatbread and a Sweet & Spicy Chicken Oval Bite are among the new items on offer.
It has also unveiled a new three-part breakfast deal, which allows customers to pair their breakfast roll or baguette with a hot drink and a choice of side – hash browns, a fruit pot or creamy yoghurt – starting from £3.95 for the roll combo and £5.10 for a baguette.
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