This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.
Co op reveals cost of shoplifting surges by nearly a fifth
25/09/2024
The Co-operative Group has laid bare the rising impact of shoplifting as it said the cost of crime in its stores surged by nearly a fifth to £40 million in the first half of the year alone.
The member-owned mutual has spent £18 million so far this year on measures to help protect staff in its food business, including rolling out body-worn cameras and fortified kiosks.
But despite this, it took a hit of £39.5 million from theft and fraud in its shops in the first half – up 19% on a year earlier – even as it ramped up campaigning on the issue.
Matt Hood, managing director of Co-op Food, told the PA news agency: “It isn’t going away.
“The reality is that every day four of our colleagues are attacked, up 34% on 2022, and scarily a further 115 of my colleagues will be seriously abused, up 37% on two years ago.”
But he added: “The investments we are making are working – our colleagues feel safer and we’re making them safer.”
Co-op chief executive Shirine Khoury-Haq said she was delighted that the Government is set to change the law to make shoplifting a standalone offence, but the group said it needs to come into effect “as soon as possible”.
The comments came as it said it returned to a half-year profit despite the hit from shoplifting and a soaring wage bill.
The retail-to-funerals business reported pre-tax profits of £58 million for the first six months of 2024, against losses of £33 million a year ago, and said its stronger balance sheet would allow it to expand with new stores and possible acquisitions.
Food sales rose 3.2% across its retail stores as its membership base jumped by a fifth to 5.5 million, helping drive a 10% increase in underlying earnings at the division, to £85 million.
Co-op’s half-year results showed that its wage costs jumped £39 million as it hiked pay to match April’s 9.8% rise in the national living wage.
However, it has been buoyed by rising numbers of members as it invested £55 million in prices, putting it on track to reach its goal of eight million members by 2030.
Having returned to profit, the group also set out plans to open another 120 new retail stores by the end of next year across the UK.
Ms Khoury-Haq said the group would also consider acquisitions as it looks to grow.
She told PA: “All of our options are open.
“We continue to scan the market and where a good opportunity comes up we will look at it very strongly.
“I’m delighted that two years into my tenure we are in a position to do that.”
Published: by Radio NewsHub