Mobile phone retailer Orange will increase store numbers by more than a fifth as part of the restructuring of its UK business.

Plans to open 60 stores by next year were outlined by new chief executive Tom Alexander this week, along with the decision to combine Orange’s mobile and fixed-line broadband arms to develop new services and products such as laptops.

The initiative came a month after Carphone Warehouse announced it would focus on expanding its laptop and connectivity products across Europe with US electricals giant Best Buy, which acquired 50 per cent of its retail business for£1.1 billion.

Orange UK director of retail Sian Doyle told Retail Week the shake-up will allow the retailer to expand the use of its new format, which has been showcased at its flagship Cardiff store, and give “fantastic” coverage for Orange’s 15.8 million customers. It is also refitting 50 of its 338 stores.

“It is a tough time in the high street, but retail has held up,” said Doyle.

Following the restructuring, 400 retail jobs will be created out of a total of 500 new jobs at the business. It will axe 450 jobs in administration, management and support functions.

The retailer will also launch an online virtual shop, reduce its reliance on Indian-based customer service centres and invest in a new high-speed network.

Property agency Cushman & Wakefield is acting for Orange on its expansion.

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