Travis Perkins reveals controversial job cuts at its Northampton headquarters despite £180m profit push

Travis Perkins, which employs hundreds in the town, has said it will be cutting jobs at its headquarters in Northampton this year.

The national builders’ merchants published its year-end financial report for 2023 on the London Stock Exchange on Thursday (January 18).

The report says the company is set to undergo changes in 2024, and unfortunately, it is accompanied by sackings.

It was revealed that the cost-cutting measures will predominantly impact jobs in the headquarters or central functions. This means that the changes are more centred on reducing positions in administrative and central roles, and not on branch closures or roles within the branches that directly serve customers.

Despite facing challenges in the past year, the company is unwavering in its pursuit of a £180 million profit in financial year 2023.

A Travis Perkins spokesman said: “Given that market conditions are anticipated to remain subdued into financial year 2024, management has accelerated plans to continue the transformation of the business.

"This work commenced in quarter four with a reduction in central and regional headcount alongside efficiencies realised within the group’s supply chain.”

While they say this move will save about £35 million each year, Travis Perkins admits there is a one-time cost of around £15 million this year, which they cannot avoid.

Travis Perkins goes on to acknowledge that slashing jobs is challenging, but they are framing it as part of a broader plan for the company's long-term survival and success. Despite the tough decisions, the company expresses hope that these changes will lead to a more “resilient” and “prosperous” future.

Travis Perkins has not revealed how many jobs are at risk.

The company will be sharing further insights during the full-year results announcement on March 5.

The firm was founded in London in 1797 and moved to Northampton in 1904.

The company has been at its Lodge Way headquarters since 1980, which the firm refurbished in 2022 to create an open plan workspace.