Leading UK tile retailer Topps Tiles is set to close 23 of its stores across the country, citing a challenging home improvement market and mounting operational costs.
The Leicestershire-based company confirmed that eight "under-performing" locations have already shut their doors. The remaining 15 stores earmarked for closure will wind down operations over the next six months, ultimately reducing the brand's 319-store portfolio by roughly 7%.
While the specific locations of the upcoming closures have not yet been disclosed, the business employs around 1,850 people nationwide. Topps Tiles has stated it will attempt to redeploy affected workers to other roles within the company wherever possible.
Chief Executive Alex Jensen explained that the strategic reduction is part of a broader cost-cutting initiative. He described the closures as "significant self-help measures" intended to bolster year-on-year profit growth and secure a stable financial foundation for 2027 and beyond.
"In light of subdued consumer sentiment and geopolitical uncertainty, as well as the cumulative impact of cost inflation, the management team is implementing a targeted programme of self-help measures weighted towards the second half," Jensen said.
The restructuring comes on the heels of a slight dip in revenue, with sales dropping 0.1% to £142.7 million in the six months leading up to March 28. The company attributed some of this friction to a prolonged regulatory inquiry following its 2024 acquisition of rival CTD Tiles. After intervention from the Competition and Markets Authority (CMA), Topps was forced to sell off several CTD locations to satisfy market competition concerns, leaving it with 22 of the initial 31 purchased stores.
Despite the rocky retail landscape, Topps Tiles has remained active in corporate acquisitions. In December, the company executed a £3 million rescue deal to acquire the brand assets of collapsed Oxfordshire-based competitor Fired Earth.
Overall, the firm recently reported a statutory pre-tax profit of £8.3 million for the year ending in September, marking a significant financial turnaround from the £16.2 million pre-tax loss recorded the previous year.