Don’t get too carried away by the John Lewis Partnership’s prediction of a “significant uplift” in profits this financial year. Last year’s outcome, after three years of losses, was a modest £56m, so any figure above £100m-ish could qualify as a “significant” advance. The real target – the partnership’s definition of a “sustainable” return – is £400m, which isn’t scheduled to arrive until 2027-28, two years later than originally intended. The turnaround plan is still firmly in turning territory.
Equally, though, let’s not be too churlish. This is the first time in ages that the partnership has been able to use words such as “buzz” in a positive way. The return of the “never knowingly undersold” slogan to the department stores in a revamped form points to greater self-belief. It is only a couple of years, remember, since the departing chair Dame Sharon White was chucking out the price pledge and scaring partners and customers alike with her vague thoughts on bringing in outside investors to the employee-owned business.
