May 11, 2022 10.20 am

Stores and jobs saved as Morrisons take over struggling chain McColl’s

16,000 staff members have been kept on

Newsagent and convenience store chain McColl’s has been saved from liquidation by supermarket giant Morrisons, keeping all shops and staff in the process.

Morrisons will pay off £170 million in debts as part of the takeover deal, as well as taking on the 1,160 McColl’s stores and pension schemes, which have 2,000 members.

McColl’s, which has stores situated all across Lincolnshire, including at The Forum in North Hykeham, was put into administration on Monday, but was then immediately sold to Morrisons.

The deal will also save the jobs of 16,000 staff members at McColl’s, after a real threat of store closures and job losses for the convenience chain.

McColl’s fell into financial turmoil as a result of COVID-19 related disruption, as well as recent supply chain issues attributed to a variety of global socioeconomic factors.

It is Morrisons’ biggest wholesale client and the two chains have a joint venture of 270 Morrisons Daily stores across the country, so the merger naturally made sense once financial troubles at McColl’s were first reported.