Starbucks has said it plans to open more than 100 new UK coffee shops following a jump in sales. The café giant said it aims to invest £30 million in its UK operation through the store openings, as well as a raft of refurbishments to existing sites.
The investment comes after reports last year that Starbucks was considering selling the UK business, which comprises 1,066 stores. The company said it plans to open 300 new sites across its business in Europe, the Middle East and Africa as a whole.
In the UK, it said its plans to open 100 coffee shops will focus on drive-through sites and locations within key cities. It also aims to renovate 30 company-operated stores over the course of the year.
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Starbucks added that it has been “very encouraged by the performance” of its licensed and franchise stores and expects more to open over the current financial year as part of its growth strategy. It opened 30 company-operated stores over the year to October and closed nine sites. It said it also increased its number of licensed and franchisee stores by 45.
The growth plans came as Starbucks revealed that UK revenues surged by 37% to £449.3 million for the year as it continued its recovery from the pandemic. However, the business saw operating profits slip to £12.6 million from £16.5 million in the previous year, following inflationary pressure and investment in staff pay.
Duncan Moir, president of Starbucks Europe, Middle East and Africa, said: “We have had a very strong year of revenue growth in the UK and EMEA and I’m pleased to report that we have exceeded our pre-pandemic revenue levels. This is all thanks to the hard work of our fantastic team of partners who are dedicated to delivering a positive experience for every customer.”
