Major UK retailer responds on future amid mass closures nationwide

Magnet Kitchens, which operates more than 150 branches nationwide under its retail and trade brands, has announced a Company Voluntary Arrangement (CVA) that will see 15 “under-performing” sites shut in a bid to cut property costs and shore up its finances.

The retailer, described as the UK’s longest-running kitchen chain and one of the largest in the sector, said the closures were “a difficult decision and not one we have taken lightly, particularly where colleagues may be impacted”.

Bosses have not given a specific figure for potential redundancies, but have admitted roles at the affected stores are at risk, adding that staff “will be supported throughout and suitable alternative roles within the business will be offered wherever possible”.

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Under the CVA, an insolvency process that allows a company to agree reduced repayments to unsecured creditors while continuing to trade, Magnet will remain in business, with the majority of its 159 outlets expected to keep operating as normal.

Customers whose local branches are due to close have been told their orders will be transferred to the nearest alternative showroom, with the restructuring proposals still needing formal approval from creditors before they take full effect.

A full list of the 15 closing stores has been published, covering locations from Andover in Hampshire and Brighton in East Sussex to Stirling in Scotland and York Trade in North Yorkshire, as well as sites in Wales and Greater London.

None of the Oxfordshire outlets appear on that list, with Magnet’s website showing the retail kitchen showroom on Banbury Road in north Oxford, trading as Magnet Oxford.

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There is also a separate trade depot on Tramway Industrial Estate in Banbury, serving builders and fitters.

Both locations remain listed as open and are not among the 15 branches earmarked for closure, meaning customers in Oxford and Banbury can still visit their local Magnet facilities even as other parts of the network face the axe.

The Banbury site is a Magnet Trade depot, acting as a counter and warehouse for registered trade customers, while the Oxford branch is a full kitchen showroom aimed at retail buyers, reflecting the company’s dual retail–trade structure.

Magnet said the CVA and store closures were necessary to tackle “property costs that are no longer sustainable” and position the business for the long term, after wider pressures on the kitchens and home improvement market.

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The group’s Swedish owner, Nobia, has previously announced UK restructurings and job cuts, underlining the challenges facing the wider company as it looks to reduce overheads and return to stronger profitability.

This newspaper approached Magnet for comment on the impact on the Oxfordshire locations.

The major UK firm responded: “Unfortunately, we are not able to provide any further comment whilst the current process is underway.”

For customers, the chain has stressed that “the vast majority” of showrooms will continue to trade.

Existing orders at closing stores will be honoured via transfers to nearby branches, although people are being advised to check directly with their local Magnet if they have concerns.