Business

The UK high-street store that deleted its online shop – and thinks that’s the path to growth

Ryan Brothwell 2 min read
The UK high-street store that deleted its online shop – and thinks that’s the path to growth

In an era when many retailers are pouring resources into bolstering their digital channels, one UK high-street chain is bucking the trend by shutting down its online shop entirely.

The Works, the discount retailer known for affordable books, stationery, arts and crafts, toys, and games, announced on Firday (20 March) that it is ceasing all transactional online sales with immediate effect.

The company, which operates more than 500 stores across the UK and Ireland, will transition its website to a non-transactional platform – essentially a digital “shop window” for browsing products and gathering inspiration, but no longer for direct purchases.

The move marks a bold reversal for a business that launched its e-commerce operation back in 2012. While online channels have become a lifeline for many bricks-and-mortar retailers, The Works says its digital arm has become a drag rather than a driver of growth.

After a thorough review, the board concluded the channel was no longer sustainable.

Gavin Peck, Chief Executive Officer of The Works, defended the decision as a strategic pivot toward what the company does best.

“We have reached this decision after a thorough assessment of the options available and are confident that focussing on our successful bricks-and-mortar business is the right step to reduce risk, improve operational clarity and support long-term profitable growth,” Peck said in a statement.

“A website that enables customers to browse our products and seek inspiration will help to bring our brand to life and drive customers to our 500 stores. Our mission, to become the favourite destination for affordable, screen-free activities for the whole family, has never been more relevant.”

The closure will incur around £2 million in exceptional costs during the current financial year (FY26), treated as a discontinued operation.

While it will have a small negative impact on cash in the short term, the company expects the move to be broadly cash-neutral by the end of FY27 and cash-flow positive longer-term through reduced working capital and lower inventory requirements.

Investors appeared to welcome the news: The Works’ shares jumped more than 17% on the announcement, trading around 42-43p.

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