Tesco London

Tesco has scrapped its London division, as it emerged former London MD Andrew Yaxley had become Tesco Ireland’s new chief executive.

The retailer created the operation in February 2013, headed by the former UK fresh food commercial director.

Yaxley has spearheaded Tesco pilots including stores remodelled around food-to-go, ethnicity, commuters and tourists. Tesco London also launched click & collect services at Underground stations.

The London stores will now come under the Tesco South division, which is overseen by Jonny McQuarrie.

“London is still a very important area for us and will still be a big focus,” said a Tesco spokesman. “Numbers of staff in stores will not be affected by this.” However, it is believed many management roles will be cut.

Yaxley, meanwhile, succeeds Phil Clarke, who is retiring after over 40 years in the company including the last two as Tesco Ireland CEO.

“Andrew has shown outstanding leadership and delivered an improved business performance in London over the last two years,” said Tesco CEO Dave Lewis.