Builders Merchants Journal – BMJ Publishing to Builders Merchants and the UK merchanting industry for more than 95 years
Builders merchants giant, Travis Perkins, is closing 30 branches and cutting 600 jobs.
This follows the release of their third quarter trading update, which says their plumbing and heating division experienced weak sales, meaning their profits will be lower than expected this year.
The company which employs 28,000 peopel and have 2,060 stores, said it was taking the steps due to an “uncertain UK outlook” for next year.
The 600 workers affected by the changes have been informed of the news, while the merchants are also closing 10 smaller distribution centres and writing off equipment.
Chief executive, John Carter said: “Our Plumbing & Heating options were disappointing and whilst market conditions have worsened we are not satisfied with our performance and will commence reviewing these operations.
“It is still too early to predict customer demand in 2017 with certainty and we will continue to moniter our lead indicators closely. Given this uncertainty we will be closing over 30 branches and making further efficiency driven changes in the supply train, resulting in an exceptional charge of £40-50 million this year.”
