Developers strongly hit back at Tesco over criticism of plans for new M&S Foodhall at retail park in Northampton

Tesco criticised plans earlier this year to open a new M&S Foodhall at Riverside Retail Park in Northampton, warning it could take customers away from its Weston Favell superstore and harm nearby shopping areas.

The supermarket giant said the proposal was “flawed” and claimed the new M&S, along with two other supermarkets opened in recent years, could “significantly reduce footfall.”

Tesco said: “With the cumulative impact of all three stores, a reduction in footfall would likely be substantial. The impact on an anchor store is intrinsically tied to a significant reduction in linked trips supporting the district centres as a whole.”

They also argued that M&S should move into the former Sainsbury’s unit in the Grosvenor Centre instead, saying reopening it would “bring significant investment” to the town centre and boost confidence in Northampton’s main shopping area.

Now, the developers behind the M&S Foodhall plans, Riverside Retail Limited, have hit back – saying Tesco’s claims are “exaggerated” and that the new store would “create 70 jobs, attract shoppers and make good use of an empty site”.

A spokesperson for Riverside Retail Limited said: “This application and the proposed M&S Food store are required to secure the long-term use of the vacant unit.

“Our assessment has been carried out using the council’s most recent retail study and shows there will not be any significant adverse impacts on any shopping centres.

“The proposed development is estimated to have a -2.4 percent impact on the Tesco Extra, Weston Favell Shopping Centre, and -2.1 percent on Lidl, Octagon Way. The overall impact on Weston Favell District Centre is expected to be -1.4 percent. When other new stores are included, this rises to around -5 percent, which remains small.

“Weston Favell is a strong, healthy shopping centre with good footfall and low vacancy rates. It can easily withstand a small level of competition.”

“The new M&S Food store is expected to compete mainly with shops offering a similar range of products and prices – such as Waitrose, Morrisons and other M&S stores – rather than with Tesco.

“The Tesco Extra at Weston Favell is a large store with a wide range of services and in-store concessions, and is well connected by public transport. It will continue to attract a large number of customers.

“It has been concluded that the former Sainsbury’s unit in the Grosvenor Centre is not suitable for the proposed development. The unit is the wrong size, difficult to reconfigure, poorly located on an upper level, and has no surface-level car parking. It is also now set to be used by a leisure operator.

“The necessary planning tests have been met and the application should be approved without delay.”

However, plans are still on hold as council officers continue to raise concerns about the impact on traffic. No date has been set for a final decision.

The plans were first submitted in 2024. The former Homebase unit closed in October 2024 and is currently being refurbished and divided into two, with Wickes taking one unit and M&S hoping to occupy the other.