B&Q to close stores
Ethel_Fred
Posts: 34,127 Forum Member
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http://www.thetimes.co.uk/tto/business/industries/retailing/article4397566.ece
Guess it's a result of the improving economy
Guess it's a result of the improving economy
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Ethel_Fred
Posts: 34,127
Comments
I think a lot has to do with the bedroom tax too. As soon as they rolled out this mad bit of legislation I told people that they hadn't properly thought out the effect that the policy would have on the DIY industry.
Who wants to spend money on decorating their homes when they are not sure if they are allowed to be living in them for much longer.
If you got off your anti Tory pro Labour soapbox and read into the story you would find the following:
Kingfisher made a pretax profit of 675 million pounds in the year to Jan. 31.
That was in line with analysts' average forecast of 674 million pounds but down from 744 million a year earlier.
The fall in profit reflected a slower market in France since the summer of 2014, 34 million pounds of adverse foreign exchange movements on the translation of non-sterling profits and 22 million pounds in charges for new country development activity.
Sales rose 2.9 percent on a constant currency basis to 10.97 billion pounds.
Kingfisher ended the year with net cash of 329 million pounds and is paying a dividend of 10 pence a share, up 1 percent. It also plans to return a further 200 million pounds to investors during the 2015-16 year.
The economy hasn't improved to anywhere near the extent that it would require to make huge swathes of people give up DIY and just get tradesmen in instead. It's a pretty poor attempt at spin from The Times.
B&Q are relatively expensive in their market, have a fairly poor website, and their delivery service can't even narrow down a slot to either the morning or afternoon. There's three major problems, right there.
yes i agree.
the impact upon the quality of social housing stock is also starting to show, same reasons. people used to make proper improvements - walls knocked down, garden doors installed, well kept gardens, driveways, a better kitchen and bathroom than the council......... not going to happen so much now and areas will become run down for it.
For God sake the bedroom tax only affects people who live in council or Housing Association properties and claim housing benefit hardly a huge amount of people and certainly if they are on HB they likely would likely not be spending money doing up their home anyway,
What a ridiculous statement to make the b&q are suddenly falling victim to a tax that affects very few who wouldn't have the money anyway.
Yeah. Silly me.
Recovering economy means people pay someone to do the work rather than doing it themselves. Therefore less demand in stores, therefore fewer stores needed.
Simples.
That is a good point were homeowner would be spending thousand to get a home of thier making, BTL landlords will only be doing and spending minimal amounts.
I am in social housing, I spent almost £400 on my computer room, I was on the verge of doing my bedroom and hallway before I became ill.
I would have got HB if it was not for the bedroom tax, not a lot but a little bit. I am getting some now anyway due to being on the sick.
I may not be spending £2k or more put a new kitchen in, but still a fair bit considering the house is not mine.
I am not saying the Bedroom tax is the problem with B&Q, just saying do not think that just because we rent we do not spend money on decorating.
Agree.
Screwfix the DIY/Trade retailer is part of the Kingfisher group; Screwfix has been expanding rapidly in recent years and now has approx.400 sites.
Screwfix/Toolstation is always my first port of call for that sort of stuff; a few as years ago it would have been B&Q/Wickes etc.
Thread trivia; The Goddard-Watts family sold Screwfix to Kingfisher in 1999; the same family founded Toolstation in 2003 and sold it to ‘Travis Perkins’ in 2012
Screwfix is great if you know where what you want is in the catalogue. But if you don't it can be a PITA.
Planning to open around 60 new Screwfix stores.
Well played, sir - well played!
http://www.bbc.co.uk/news/business-32126970
I can see other business going down the same route: why pay for a massive store when you can just have a warehouse.
I really hope my local B&Q doesn't close as I buy lots of things there. It also has a decent garden centre section.
I also support independent DIY/hardware stores like Charlie's:
http://www.charliesdirect.co.uk/diy-trade-tools
which will obviously get all my custom if B&Q closes.
but then a bigger store opened up at cribbs causeway, the filton store hasnt gone down in size, but has loads of empty space
True - their website is woeful. I know they have what I want, if only I could work out how to find it>:(
B&Q is convenient for many but expensive, even their trade depo' prices aren't cheap.
Wickes on the other hand is ostensibly a builders merchant and keep their prices relatively keen.
If you were fully renovating a property, the last place you would buy,--price wise--is B&Q.
B&Q have been falling behind for some time.