Concern over threat to local Argos outlet

Concern over threat to local Argos outlet

11 November 2020

THE future of the Argos store in Downpatrick is clouded in uncertainty this week.

Supermarket giant Sainsbury’s — which owns Argos — has revealed that it plans to reduce its number of stand-alone stores across the UK from over 400 down to just 100 over the next three and a half years.

Sainsbury’s, which posted a pre-tax loss of £137m for the past year after being hit by £438m in one-off costs related to store closures due to the Covid-19 pandemic, is planning to cut 3,500 jobs as part of plans to permanently close all its meat, fish and deli counters, as well as some of its Argos stores.

The Downpatrick Argos store has been a major success since it opened and South Down MLA Colin McGrath hopes that given its geographical location, serving a wide catchment area, that it can remain open.

Mr McGrath, who has spoken with a senior Sainsbury’s official in England, said the company is planning a major reduction in the number of its Argos stores, 120 of which are currently closed due to Covid-19.

The Assemblyman said he has been told that a number of other Argos outlets will be incorporated into local Sainsbury stores, with around 100 stand alone stores remaining open. 

He has described the move as “concerning” and warned that the closure of the Downpatrick Argos store would be a “bitter blow” to store employees, the town and local people.

“Many welcomed the addition of Argos to the town as it brought many new lines of products and that instant delivery method of shopping,” said Mr McGrath. 

“There is no doubt to that many people travelled to Downpatrick to shop and then spent time and money in the other retail outlets.

“Staff at the Argos store will be very worried about the future and I have spoken with the head of public affairs at Sainsbury’s and asked the company to do all it can to ensure the Downpatrick store stays open.”

Mr McGrath said while people can be debate that multi-national outlets detract from the local high street, he argued that Argos was definitely a “consumer-attracter” and brought people to Downpatrick, complementing existing retail provision.

He added: “These are worrying times and retail is reshaping due to technology and now to Covid. We must ensure the retail product that we have in Downpatrick is enhanced, not reduced.”

Concern about the future of the Argos store comes after it emerged that the Edinburgh Woollen Mill Group — which also owns Peacocks — has filed a notice to appoint 

administrators, with fears that 260 outlets across the UK could close with the loss of thousands of jobs.

There are Edinburgh Woollen Mill and Peacocks stores in Downpatrick and while they are continuing to trade, but both have erected ‘closing down’ signs.

Local politicians hope that both stores can remain open at what is a particularly challenging time for the local economy due to Covid-19 with many businesses finding it extremely difficult at the moment.