Tesco CEO Dave Lewis made a series of major announcements on the future of the business today. Below you can find a summary of the biggest changes.

 

  • 43 “unprofitable” stores will be closed, with thousands of jobs at risk and a consultation to start today lasting until May
  • Further 49 planned stores, most of them Extras, have been canned
  • A restructuring of central overheads, simplification of store management structures and increased working-hour flexibility 
  • Consultation announced on plans to close final salary pension scheme
  • The introduction of a flexible benefits package for store colleagues and a turnaround-based bonus for all colleagues
  • Major streamlining of SKUs from 90,000 to 70,000 in bid to focus offer to customers and boost profitability 
  • Tesco seeking to slash overheads by 30% including a  consolidation of head office locations, with iconic  Cheshunt HQ to shut and move to Welwyn Garden City
  • Significantly reduced capital expenditure budget in 2015/16 of £1bn
  • The appointment of Matt Davies, Group Chief Executive of Halfords Group plc, as the new CEO for the UK and Ireland business, effective 1st June
  • Disposal of Tesco Broadband and online movies, TV and music service Blinkbox to TalkTalk
  • Appointment of advisors to explore strategic options for the Dunnhumby business
  • Decision not to pay a final dividend for 2014/15