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Amazon to close its UK grocery stores

London, UKBusiness

Amazon plans to close its 19 UK grocery stores due to a strategic shift towards online delivery services. Five stores will be converted into Whole Foods locations, which would increase the total to 12 by the end of 2026. Affected by the closures are 250 employees, and the company has begun a consultation process to explore redeployment opportunities. Analysts suggest that Amazon Fresh has struggled to differentiate itself in a competitive grocery market, with some locations deemed unsuitable. The GMB union criticized Amazon's treatment of workers, calling for better ethics.

Amazon's first UK grocery store launched in March 2021, but the firm has since faced challenges in its grocery strategy. John Boumphrey, Amazon UK manager, emphasized the company's commitment to innovation and investment in the UK market. With the closures, Amazon aims to enhance its grocery delivery offerings through partnerships with retailers like Morrisons and Co-op.

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