Beloved electrical chain to shut eight UK stores and put 60 jobs at risk

Hughes Electrical is closing eight stores across East Anglia as part of a major restructuring programme that has placed around 60 jobs at risk.

The family-owned retailer confirmed its Wisbech branch will shut this weekend while its Norwich delivery depot is also scheduled to close under the plans.

Around 35 shop workers are facing possible redundancy alongside a further 25 employees based at the Norwich depot.

The company said staff affected by the restructuring are currently being consulted while alternative positions within the wider business are explored.

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The closures follow a sharp deterioration in Hughes Electrical’s financial performance during the year ending March 2025.

The retailer recorded a pre-tax loss of £2.15million over the period, compared with a £2.96million profit during the previous financial year.

Chief executive Mark Wardell acknowledged the impact the closures would have on long-serving employees.

Mr Wardell told the Eastern Daily Press: "These have not been easy decisions to make.

"Many of those affected have worked with Hughes for a long time and played a huge part in the business we are today."

Mr Wardell said staff leaving the company would "receive the honesty, respect and support they deserve through the difficult process ahead".

Explaining the reasoning behind the restructuring, he said: "We understand the news will be very upsetting for our teams, but we have acted now to ensure the long-term success of the business."

The chief executive said reducing Hughes Electrical’s physical store estate would allow the business to focus more heavily on digital operations alongside improvements to remaining branches and its rental and commercial divisions.

Despite revenues increasing from £151.6million to £160.1million during the financial year, profit margins came under heavy pressure.

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Company directors blamed rising wage costs, inflationary pressures, increased delivery expenses and growing competition from online retailers and national chains for the downturn in profitability.

Digital sales rose by seven per cent during the period while commercial revenue increased by 13 per cent.

However, declining gross profit margins ultimately pushed the business into loss-making territory.

Borrowings also increased during the year, prompting the company to secure refinancing arrangements aimed at supporting its recovery strategy.

The company closed its Ely branch in 2024 and has now shut 24 stores over the past decade.

Hughes Electrical was founded in 1921 by Frank Hughes following his return from the First World War.

The company opened its first shop in Lowestoft in 1928, with the Hughes family initially living above the premises.

More than 100 years later, the business continues to be operated by the third generation of the Hughes family.

Over time, the retailer expanded beyond electrical retail into appliance rental, servicing and commercial supply operations.

The company has previously supplied equipment for major events including the London 2012 Olympic Games and the Glasgow 2014 Commonwealth Games.

Following the restructuring, 10 Hughes Electrical branches will continue trading.

Stores in King's Lynn, Great Yarmouth, Lowestoft, Ipswich, Beccles, Bury St Edmunds and Colchester are among those expected to remain open.

Directors said they expect turnover to decline in the short term following the closures but anticipate the business will return to profitability during the 2026/27 financial year.

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