Lincolnshire Co-op has launched a wide-ranging business transformation programme as the UK-based retailer grapples with falling revenues and sharply reduced earnings.
The independent co-operative operates more than 200 trading sites across Lincolnshire, UK, and neighbouring counties, covering food retail, funeral, pharmacy, post offices, and travel services.
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
It recorded a 1.2% decline in turnover and a 35% drop in earnings before interest, taxes, depreciation and amortisation (EBITDA) during the first half of its current financial year, attributing the results to economic headwinds and rising costs.
Under its Purpose Beyond Profit 2030 strategy, the co-operative is shifting capital allocation towards healthcare and housing, while investing in systems and technology to drive operational efficiency.
Lincolnshire Co-op CEO Alison Hands said: “Our costs continue to rise, including significant increases in the National Living Wage and National Insurance, and in the latest half-year financial results, we reported that our turnover and trading profit are both down.
“To enable us to achieve our plan, we also have to make sure we are managing our costs carefully, balancing profitability as well as alignment with our strategy and community purpose, and our future direction and growth.”
At its Lincoln Support Centre, a consultation affecting 52 employees has concluded with fewer than ten compulsory redundancies, following discussions with retail trade union Usdaw.
A separate consultation is now under way at the co-operative’s Lincoln pharmacy warehouse, which employs 80 people.
The proposed change would see prescription supply to pharmacy branches transferred from the in-house warehouse to third-party suppliers already serving those locations.
Of the 42 roles affected, 27 could be made redundant. The co-operative says it is working with Usdaw to limit compulsory job losses.
The society has also reshaped its property holdings.
In May, it relinquished full ownership of Lincoln’s Waterside Shopping Centre to joint venture partner Wykeland Group.
Separately, the Mosaic Digital Hub co-working space on Silver Street, along with the broader Thomas Parker House building, has been put on the market.
The co-operative is seeking a new operator for the facilities and vacant space within the building.
Owned by around 300,000 members, Lincolnshire Co-op said the restructuring and investment decisions are designed to rebuild trading profit in the years ahead and protect its services, membership benefits and community commitments.
