H&M to shut 170 stores globally this year

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H&M will close 170 stores across its stable of brands by the end of this year in reaction to the coronavirus pandemic and its knock-on effect of fashion sales.

It is not clear how many of H&M’s 300-strong UK store estate will be included in the cull.

H&M’s accelerated store closure plan comes as the business reported that sales in June had fallen by a quarter as a result of ongoing store closures and a subsequent fall in customer appetite to visit stores.

The retailer has increased the number of shops it plans to close this year by 40 and separately plans to open 130 new stores elsewhere during the year. These store closures will comprise closures across the fashion group’s fascias including Monki, Arket and Weekday.

H&M chief executive Helena Helmersson said: “I am full of admiration for our employees’ commitment, drive and perseverance during this very challenging time.

“As we have reopened our stores, sales have begun to recover at a faster rate than expected.

“To meet the rapid changes in customer behaviour caused by Covid-19, we are accelerating our digital development, optimising the store portfolio and further integrating the channels.

“With our ambitious sustainability work, we want to continue to lead fashion retail towards a more sustainable future.”