Primark accelerates UK home deliveries to 2027 as profits fall 10% and competition intensifies

Primark will begin offering home deliveries in the UK by December 2027, two years ahead of its original schedule, as the retailer moves to address a 10% decline in annual profits and intensifying competition from online specialists.

Parent company Associated British Foods (ABF) reported that profits at Primark fell to approximately €1.15 billion in the year to 12 September, despite a 4% increase in overall sales to around €11.3 billion. While sales at established UK stores rose just 0.5%, established stores in mainland Europe saw a 4.7% decline and US sales dropped 2.6%.

To enable the accelerated launch, Primark acquired a robot-assisted warehouse in Sheffield from Debenhams and will take full control of the facility by mid-2027. This investment is aimed at supporting logistics for home deliveries, a move that represents a significant strategic shift for a retailer long known for its store-only sales model.

According to ABF CEO George Weston, the advancement of home delivery is designed to attract new customers who prefer shopping online and to strengthen Primark's market position against fast-fashion competitors such as Shein and H&M. The company began rolling out click-and-collect services in the UK in 2022, laying the groundwork for its e-commerce expansion.

Primark operates 511 stores across 21 countries. After launching home delivery in the UK, the retailer plans to expand the service to mainland Europe, though it has not provided a specific timeline for this phase.

The shift to home delivery comes with logistical challenges and increased exposure to volatile consumer spending patterns. However, it also provides opportunities to leverage improved delivery economics and broaden Primark's customer base. Analysts suggest that the move could reshape the retailer's competitive dynamics in both the UK and European markets.