John Lewis Partnership is set to exit its headquarters and search for new offices in central London “because it needs less space” as staff continue to work from home following the pandemic, according to a report in The Times.

The group, which includes John Lewis and Waitrose, is said to be looking to cut the size of its current HQ space by “more than half”.

John Lewis is reportedly ending its current lease for its 220,000 sq ft Victoria Street headquarters earlier than planned and said it hoped to relocate to a new site “by the end of next year”.

The report said JLP is eyeing a new space of around 100,000 sq ft and has “ruled out” relocating to the office above its department store on Oxford Street.

A JLP spokesperson said: “Like many businesses, we don’t need as much space now we have a blended approach to working in offices, home and out in the business.”

The report follows the retailer’s annual loss of £234m as John Lewis chair Dame Sharon White eyes options to raise investment. She recently emphasised that any financial partnership would be about finding “creative ways” of working together with companies that share John Lewis’ values.