The UK DIY market is set for a major shake-up. Australian retail giant Wesfarmers has struck a deal to acquire Home Retail’s Homebase business for £340m.

Wesfarmers plans to rebrand Homebase to its domestic fascia Bunnings. It will plough an extra £500m into the venture, which will be led by company lifer and Bunnings current chief operating officer Peter Davis.

So how worried should the likes of B&Q and Wickes be?

Planet Retail analyst David Gray says the chains should not be too concerned initially as rebrands take time. “Bunnings is also coming into an extremely competitive and established market,” he says.

However, Bunnings has a proven record as Australia’s largest DIY retailer. It has ambitious aims in the UK and says there is potential for more stores under the Bunnings fascia, despite Homebase currently closing stores.

Bunnings has become recognised for its huge choice, low prices and early opening hours. This strategy in the UK will put it head-to-head with B&Q.

Bunnings is also likely to target the trade market with its early hours, putting it in competition with trade specialists Wickes and Screwfix. Whether Bunnings can turn the screw on its soon-to-be rivals will make for interesting viewing.