M&S continues to make headlines over a cyber attack which was disrupting its operations throughout last week. The retailer has suffered a “bruise” to its reputation after it was forced to stop taking online orders, an analyst cited by the BBC has said. The retail giant has paused orders on its website and apps since Friday as it attempts to restore operations. But analysts say M&S stands to lose out if the problem is not resolved quickly, with shoppers likely to turn to rival brands when buying summer clothes. Kate Hardcastle, consumer specialist at Insight with Passion, said the incident was “a bruise to M&S’s trusted brand image”.
M&S was forced to stop accepting online orders after being held to ransom by a criminal gang, The Telegraph reported on Friday. M&S blocked customers from placing orders through its website and app “as part of our proactive management of a cyber incident”. It follows a crippling attack on the company’s computer systems that has prompted it to call in government cyber security experts to fend off hackers. Shoppers have also been left unable to collect orders placed online at its stores.
The Guardian also covers the cyber attack. M&S halted all orders through its website and apps as it continued to battle the fallout from a cyber-attack that began on Monday, the newspaper reports. The company apologised to shoppers for “this inconvenience” and paused digital orders “as part of our proactive management of a cyber incident”. “Our experienced team – supported by leading cyber experts – is working extremely hard to restart online and app shopping,” it said.
Mohsin Issa, the co-founder of petrol station chain EG Group, is stepping down as the company’s chief executive ahead of the group’s planned initial public offering, The Financial Times reported on Friday. Russell Colaco, the UK-headquartered company’s current chief financial officer, has been appointed as Issa’s replacement. The chain, which is co-owned by UK private equity firm TDR Capital, Issa and his brother Zuber, has been exploring a listing in New York after offloading the majority of its UK business to Asda.
A trade deal with the US is “possible” but not “certain”, a senior minister has said. Sky News reports on comments made by Pat McFadden, the Chancellor of the Duchy of Lancaster, on the Sunday Morning with Trevor Phillips programme. He said there was “a serious level of engagement going on at high levels” to secure a UK-US trade deal. McFadden, a key ally of Sir Keir Starmer, struck a more cautious tone than Chancellor Rachel Reeves on the prospect of a US trade deal, saying: “I think an agreement is possible - I don’t think it’s certain, and I don’t want to say it’s certain, but I think it’s possible.”
A pack of suitors were due to table takeover offers on Friday for Poundland, the struggling discount retail giant, as its owner pursues a speedy exit from the British high street. Sky News reported that Endless, the turnaround investor, and Hilco Capital, the new owner of Lakeland, were among the bidders expected to lodge indicative proposals for the business ahead of a deadline set by Poundland’s owner.
Global beer corporations are using their financial muscle to elbow smaller independents out of most of their local pubs, reports The Guardian, citing research from the Society of Independent Brewers and Associates (Siba). The number of breweries in the UK that are not owned by a larger business or multinational is already in decline, falling by 100 last year to 1,715, according to the figures. Siba members told a survey that 60% of the pubs within 40 miles were inaccessible to them, choking off potential sources of revenue and reducing choice for consumers thirsty for more interesting options at the bar.
Read The Grocer’s coverage of Siba’s research.
UK economic growth could be “postponed” for two years amid a toxic cocktail of headwinds for confidence, reports Sky News, citing forecasts from EY ITEM Club, which warns of a direct hit from Donald Trump’s trade war and from persistent high inflation in the UK economy. EY ITEM Club, which uses the Treasury’s economic modelling, downgraded expectations for output in both 2025 and 2026 in its latest report.
Deliveroo, the food delivery company that listed in London with a £7.6bn valuation in 2021, is set to be the latest UK company swallowed by a US rival after San Francisco-based DoorDash made an indicative £2.7bn bid, according to The Financial Times. The takeover talks between the two popular takeaway apps come as consolidation gathers pace in the sector. Earlier this year, Prosus struck a €4.1bn deal to take Europe’s leading food delivery group Just Eat Takeaway private.
The Mail also reports on DoorDash’s takeover bid for Deliveroo, saying Shu is set to pocket £170m if it is approved. Deliveroo confirmed on Friday night that San Francisco-based DoorDash had made a £2.7billion approach for the company. It said the board would be ‘minded to recommend’ the deal if a firm offer of 180p-a-share is made. A takeover would spell the end of Deliveroo’s disappointing time on the London Stock Exchange, with shares down 60 per cent on its listing price.
A Lex column in The Financial Times says some heavier wines are disappearing from UK stores, according to sellers, because a new system of duties makes them unprofitable. The aim of the tax change is partially to nudge drinkers towards healthier habits but it is creating problems for retailers and producers. With “low and no” alcohol markets expanding rapidly and health a key political topic, there is growing discussion in policy circles about reforming alcohol duties, which are typically among the oldest, most complex and most contentious taxes in any country.
Sunny weather fuelled an unexpected increase in retail sales in Great Britain last month, as shoppers flocked to clothing, outdoor and DIY store, The Guardian reports. Retail sales volumes rose 0.4% in March, according to the Office for National Statistics (ONS), defying a forecast of a 0.4% fall by City economists and marking the third straight month of sales growth.
No comments yet