Topps Tiles has blamed government and macro-driven cost inflation for its decision to shut 23 shops across Britain in the second half of this year.
In a trading update, Topps Tiles said that at the start of 2026, the chain had 297 stores, but that by the end of the first half this had fallen to 289.
The 23 additional closures announced on Wednesday will be in addition to the closures already completed.
The retailer has not disclosed which sites will be closed – only that they are ‘underperforming – or how many staff are at risk of losing their jobs. This is Money has contacted the retailer for comment.
Retailers have been blitzed with a toxic cocktail of employer national insurance hikes, wage hikes and rising bills.
Shoppers are also grappling with sky-high taxes and living costs, meaning their willingness and ability to splurge on discretionary items is dwindling.
Closures: Topps Tiles has blamed government and macro-driven cost inflation for its decision to shut 23 shops across Britain
The group said: ‘In light of the softer Home Improvements & DIY market, and to offset government and macro-driven cost inflation, the Group has begun rolling out a series of self-help measures to continue driving sustainable profit growth in the medium term.’
Topps Tiles said it expected the shop closures to reduce its revenue, but boost profitability ‘through sales transference and cost reduction.’
It added: ‘Savings are expected to be weighted toward the second half of the year and will underpin in-year profit as well as provide sustainable profit improvement.’
Topps Tiles was already forced by Britain’s competition watchdog to close four CTD stores following the acquisition of its tiling rival.
Topps Tiles will keep just 22 CTD stores open, well down from its original 86 stores, following the latter’s collapse into administration in 2024.
It said total group revenue – including CTD- for the first half was £142.7million, 0.1 per cent lower year-on-year.
Group revenue excluding CTD increased by 2.1 per cent, but growth moderated slightly in the second quarter. The retailer delivered like-for-like revenue growth of 0.1 per cent in the period.
Topps Tiles said its online brands had continued to perform well, with Pro Tiler revenue increasing by over 21 per cent year-on-year in the 26 weeks to 28 March.
Chief executive Alex Jensen said: ‘Topps continues to outperform a softer market.
‘In light of subdued consumer sentiment and geopolitical uncertainty as well as the cumulative impact of cost inflation, the management team is implementing a targeted programme of self-help measures weighted towards the second half.
‘These actions are designed to support year-on-year profit growth and provide a stronger financial platform for 2027 and beyond.’
This week, William Hill’s parent company Evoke said it planned to close around 200 betting shops from May onwards, blaming the tax increases announced by Labour as one of the main factors behind the decision.
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