Ikea to CLOSE its Tottenham superstore putting 450 jobs at risk as Swedish furniture retailer plans to open mini shop on Oxford Street’s former Topshop site
- Swedish retailer says the decision comes as part of overhaul of its London stores
- Ikea opened its first mini shop in Hammersmith, west London, last month
- It plans to build similar store in Oxford Street to replace former Topshop site
- Retailer bought site for £378m last year in effort to increase high street presence
- Ikea is now entering consultation period with 450 Tottenham store employees
Ikea is to close its Tottenham superstore, putting 450 jobs at risk, as the Swedish furniture retailer plans to open a mini shop on Oxford Street's former Topshop site.
The retailer said the decision comes as part of a £1 billion overhaul of its London stores and follows the opening of its first smaller format site in Hammersmith last month - around a quarter of the size of its traditional stores.
Ikea plans to open a similar store in Oxford Street by autumn 2023 after purchasing the former Topshop flagship site for £378 million last October - part of efforts to increase its high street presence.
It is not immediately clear when its Tottenham superstore will close, but bosses have said they hope to find positions elsewhere in the capital for the site’s 450 employees.
The Ikea store in Tottenham, north London, putting 450 jobs at risk. The retailer claims it is trying to find alternative positions in the capital for the affected employees
Ikea bought the former Topshop flagship store on London's Oxford Street in October last year. The latest mini store is set to open by autumn 2023
Pritesh Patel, Hammersmith store manager and Natalia Petelina, Livat Hammersmith meeting place manager, cut the ribbon to officially open Ikea Hammersmith on February 24
The homewares giant bought the former Topshop flagship shop on London's Oxford Street for £378million last October
The closure follows an 'extensive assessment' of its UK stores 'in line with changing shopping behaviours'.
Last year, online sales represented half of Ikea's total purchases amid increasing demand for different services and a desire for accelerated deliveries, a statement added.
As a result, the Swedish furniture giants are also opening a new fulfilment centre in Dartford, Kent, in December later this year - allowing it to provide a 24-hour delivery service across the capital.
It comes as Ikea has tweaked its strategy in recent years towards adding inner-city store formats besides its giant out-of-town warehouse stores to reflect changing shopping behaviour.
It opened its first inner-city full-range store in Paris in 2019.
But a store on Tottenham Court Road, named the 'Ikea Planning Studio' which specialised in kitchens and bedrooms,, opened in October 2018 before closing permanently in July 2021 after 'careful evaluation'.
The retailer is now entering a consultation period with the 450 employees affected by the closure of the Tottenham store, but claims it is 'committed to retaining as many as possible'.
More than 600 vacancies will be created in London before the proposed closure, a statement added, priority for which will be given to the employees.
Peter Jelkeby, Country Retail Manager and Chief Sustainability Officer, IKEA UK & Ireland said: 'Taking care of our co-workers is our highest priority and we will lead with respect and compassion throughout the process.
'The decision to propose closing the Tottenham store has not been taken lightly but we believe it is the right thing to do for our customers and business as we strengthen our position for the future.
'We will do everything we can to support the co-workers affected and our hope is that as many as possible will continue their career journey with us.'
IKEA has five other London stores - in Croydon, Greenwich, Hammersmith, Lakeside and Wembley.
The Tottenham site will remain open with normal opening hours until further notice.
A statement today added: 'IKEA UK has today announced the proposed closure of its Tottenham store in Edmonton, North London, as part of the business’ transformation plan for the Capital.
'The decision comes as the retailer commits to investing more than £1bn in London over the next three years to better meet the needs of its customers.
'As part of the retailer’s move to strengthen its long-term position, a new, smaller format store opened in Hammersmith, West London, in February this year.
'Moving forward, the retailer will open a new fulfilment centre in Dartford in December 2022, expanding its fulfilment capacity and unlocking 24-hour deliveries in London.
'In Autumn 2023, IKEA UK will open their long-awaited store on London’s Oxford Street.'
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Ikea's Tottenham store first opened its doors in February 2005, but faced ugly scenes as a midnight opening descended into violence just 30 minutes in.
Around 6,000 shoppers came to the store with the promise of time-limited bargains but fights broke out, cars were abandoned and customers were injured in heavy crushes.
A man in his 20s was stabbed and would-be bargain-hunters suffered heat exhaustion as crowds in their thousands forced the superstore to close.
Six people had to be taken to hospital, with Ikea blaming the chaos on 'an unforeseen volume of customers' trying to cram into the site.
Tottenham MP David Lammy said Ikea should have known offering cheap prices in a deprived area would cause such a rush.
The store had to remain closed for a period of time while safety issued were addressed and damaged doors repaired.
An Ikea spokesperson said: 'I think it's fair to say we misjudged it and maybe were a bit naive, but some shoppers behaved like animals and started shoving and pushing everyone else. There's not much we can do to stop that.'
Thousands of people pictured at the Tottenham Ikea store in February 2005, when the shop was forced to close just 30 minutes into its grand midnight opening
An injured person is stretchered away by paramedics following the opening of the Ikea store in north London in February 2005
Police pictured at the entrance to the store, where a man was stabbed and bargain hunters suffered heat exhaustion following the midnight opening of the store 17 years ago
Customers queuing at the Ikea Tottenham store in Edmonton, north London, on the first day of its reopening on June 1, 2020, when Covid restrictions were loosened
A member of staff wearing a mask at Ikea's store in Tottenham following its reopening in June 2020
Plans to open a smaller store follows the grand opening of a mini shop in Hammersmith, west London, last month.
The Hammersmith store, which opened on February 24, is around one quarter of the size of a traditional Ikea site, with 4,000 product lines on display and 1,800 available to take away on the same day.
The shop, set across two floors, focuses on home accessories and soft furnishings, while larger furniture items will are display and can be ordered for home delivery or delivery to nearby collection points.
It also features a Swedish delicatessen serving hot and cold traditional delicacies for dine-in and takeaway, including Smorrebrod open sandwiches, Nordic Chicken Caesar and Swedish Mazarin - a popular type of tart.
There are also variations of Ikea's traditional meatballs, including plant balls. The deli - located on the edge of the site - opens an hour earlier than the main store, to allow commuters to 'grab and go'.
In October last year, Ikea agreed to buy the iconic former flagship store of fashion chain Topshop in Oxford Circus from the administrators of bankrupt owner Arcadia Group, as part of its push to open inner-city outlets.
Krister Mattson, head of the investment arm of Ingka Group which owns most Ikea stores, said at the time that three floors of the Oxford Street building would be turned into an Ikea store due to open in the summer or autumn of 2023.
