Starbucks to close some UK coffee shops amid global cuts

Starbucks is to close some UK stores following a review of its global coffee shops.

On Thursday, the company launched a consultation over the proposed closure of a number of company-owned UK stores, putting workers at the sites at risk.

However, it did not disclose how many stores will be affected, where these are located and how many workers will be affected.

The hospitality business runs around 520 company-owned stores in the UK, as well as franchise-owned coffee shops.

It is understood more than 5,600 people work for Starbucks across the UK.

The chain said it is planning to close sites where it has not been able to “create the physical environment customers” want, and where they are not sustainably profitable.

The coffee chain has said it is still on track to open 80 new Starbucks sites in the UK and is committed to the country.

Starbucks also revealed it will reduce its portfolio of stores in North America by 1% this year and will cut around 900 head office jobs there.

It is the latest set of cuts from chairman and chief executive Brian Niccol, who joined the company a year ago.

In February, Mr Niccol – who faced criticism over his use of a private plane to commute from California to its offices in Seattle – announced plans to lay of 1,100 workers.

In a statement, Starbucks said: “We have conducted a review of our coffeehouse portfolio in North America and certain stores have been identified for closure where it has not been possible to create the physical environment customers and partners (employees) want, and where there isn’t a path to financial performance.

“In Europe Middle East & Africa (EMEA), we have conducted a similar review of our company-operated store portfolio with the goal of ensuring that our stores are correctly located, generating appropriate levels of foot traffic and operating in the right formats.

“While the EMEA business is on track to meet its commitment to open 80 new stores in the UK and 150 across EMEA this financial year, some stores in the UK, Switzerland and Austria will close as a result of this portfolio review.”