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Scarborough's Carphone Warehouse To Close

Scarborough's Carphone Warehouse To Close

Published by Karen Liu at 8:29am 17th March 2020.

Scarborough's Carphone Warehouse is to close.

Its parent company has announced it is shutting all 531 of its standalone stores.

Dixons Carphone said it is expected that 40% of employees will be able to get new roles within the company, but around 2,900 will be made redundant.

The company said it will concentrate on the branches inside Currys PC World stores because of changes in the way customers buy technology.

Scarborough currently has a standalone Carphone Warehouse inside The Brunswick Centre, and it will close on the 3rd of April.

It means residents in the town will now have to go to Currys PC World on Seamer Road.

Bridlington residents can continue going to Currys PC World at the retail unit on Bessingby Road. 

Alex Baldock, Group Chief Executive of Dixons Carphone, said:

“Customers are changing how they buy technology, and Dixons Carphone must change with them. We’re underway with a fundamental transformation to do so.

Today’s tough decision is an essential part of that, the next step in making our UK Mobile business a success for customers, colleagues and other shareholders.

Clearly, with unsustainable losses of £90m expected this year, Mobile is currently holding back the whole business.

There’s never an easy time for an announcement like this, but the turbulent times ahead only underline the importance of acting now.

I don’t underestimate how upsetting this news will be for our colleagues, and we’ll treat everyone with honesty, respect and care.

We want to keep as many of our Carphone Warehouse colleagues as we can, and expect to find new roles for almost 40% of those affected.

We’re working hard to look after those colleagues we can’t find new roles for, financially and otherwise.

We’ll pay enhanced redundancy, any bonuses, honour their share awards, and help them find new jobs through an outplacement programme. We recognise our responsibilities towards our colleagues and communities, and intend to fulfil them.

But though this is by far the toughest decision we’ve had to make, it is necessary. We must follow our customers. They want help with all technology, all in one place, and this trend is only going to accelerate in a more connected 5G world.

So customers are increasingly heading, not just to our large and growing online business, but into our big stores, where they can find all the experts and tech - mobiles, computers, TVs, smart tech, appliances, gaming and all the rest - they need.

But they can’t find all this in the small mobile-only stores that are one twentieth of the size; they’re visiting these less and these stores are losing more money as a result.

That’s why we’re committed to our more than 300 big stores around the UK, why we’re investing tens of millions of pounds in them and in the thousands of expert colleagues who work in them. But it’s also why sadly we have to close the small stores.

We remain committed to Mobile, as we’re showing by developing a new offer for customers, retaining as many Carphone Warehouse colleagues as we can, and making Mobile a core category in our big stores and online.

As such, Mobile will be part of the one, joined-up business that customers want and that’s essential for our transformation. Today’s announcement is about ensuring we’re ready for that future, and staying on track for future success.”

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