whole foods market

The closure of two Whole Foods Market stores in Cheltenham and Giffnock, East Renfrewshite, resulted in major costs

Whole Foods Market’s UK business collapsed to a £8.6m loss in 2017 as store closures cut through an increase in sales.

The Amazon-owned organic food retailer slumped deep into the red in the 65-week period to 31 December 2017, slumping from a £1.2m profit in the previous period.

Despite an increase in sales, largely attributed to the extended accounting period by the grocer, larger sales costs and increased admin costs resulted in losses.

The closure of two Whole Foods Market stores in Cheltenham and Giffnock, East Renfrewshire, were a key factor as costs rocketed, the company said.

The closures came just two months after Amazon purchased the upmarket grocery chain for around £10.7bn.

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Its UK sales jumped 26.6% to £148.5m for the period, up from £117m in 2016, “primarily due to the extended accounting period”.

In contrast to the US, where it has 440 stores, the seven UK-based stores are largely utilised to broaden the range of groceries available on Amazon’s Fresh and Prime Now services.

Whole Foods launched in the UK after it purchased seven Fresh & Wild stores in 2007.

The company has been contacted for a comment.