Closing post
Time for a recap….
Sainsbury’s has said it will cut around 1,500 roles as part of plans that it hopes will reduce costs by around £1bn per year.
The business said that it would cut roles in its contact centre in Widnes, in Cheshire, at its in-store bakeries and a few at local fulfilment centres, in a cost-cutting drive.
Chief executive Simon Roberts said.
“As we move into the next phase of our strategy, we are making some difficult, but necessary decisions,”
“I know today’s news is unsettling for affected colleagues and we will do everything we can to support them.”
The supermarket will reduce its workforce by around 1,500 jobs, but subject to consultation. It said the money it saves will be reinvested into the business to give customers “great value, quality and service.”
At Widnes a “vast majority” of Sainsbury’s staff will see their employment move to a different company, while its stores will move to “a more efficient way of freshly baking products”.
The blow comes as administrators running The Body Shop announce plans to close 75 stores across the UK in the next six weeks with the loss of 489 jobs.
Hundreds of jobs are also being cut at computer games developer Electronic Arts.
In the property sector, UK mortgage approvals have hit their highest level in 15 months. There were 55,200 new home loans approved by lenders in January, the highest since October 2022.
Property website Zoopla has predicted that sales will rise 10% this year, as falling mortgage rates boost demand.
Out today - our latest House Price Index:
— Zoopla (@Zoopla) February 29, 2024
- The market continues to recover with house price falls steadying
- 15% more property sales than this time last year
- 4-5% mortgage rates becoming less of a barrier to sales
Read more: https://t.co/XOX6au8vUR
Elsewhere today…
The G20 group of the world’s most powerful countries is exploring plans for a global minimum tax on the world’s 3,000 billionaires:
US regulators are reportedly investigating internal communications from the OpenAI chief executive, Sam Altman, as part of an inquiry into whether investors into the technology company were misled.
A former Treasury official and key adviser to David Cameron and George Osborne has been appointed as a deputy governor of the Bank of England.
Clare Lombardelli’s arrival will mean the Bank’s interest-rate-setting committee will have a majority of female policymakers for the first time in its history.
Ocado has threatened to sue Marks & Spencer over a multimillion-pound payment linked to their online joint venture.
The owner of British Airways has announced bumper profits for 2023 on the back of sustained demand for leisure flights, with operating profits doubling year on year and exceeding 2019’s pre-Covid haul.
Chancellor Jeremy Hunt is reportedly considering abolishing the UK’s non-dom tax status, which allows foreign domiciled nationals resident in Britain to earn money from capital abroad without paying UK tax on it for up to 15 years.
And bitcoin is on track for its best month in over three years, after jumping 50% in February, towards its alltime high of around $69,000.
The “vast majority” of Sainsbury’s staff at its contact centre in Widnes, Cheshire, will see their employment move to a different company which Sainsbury’s already works with.
All of Sainsbury’s Careline services will now be run by this external company, Sainsbury’s said.
It also plans to move more of its shops “to a more efficient way of freshly baking products”.
Investment in technology and automation also mean Sainsbury’s needs fewer local fulfilment centres. A “very small proportion” of staff will be impacted and could be helped to find new roles where possible, it says.
