Primark boss issues major update over online deliveries

Primark is unlikely to ever offer customers online deliveries, its boss has said. The retailer - which marked its 50th birthday this year - has enjoyed success despite not following rivals with a delivery service.

Bosses argue its low prices, as well as the costs around online orders and returns, means the move would not make sense. George Weston, chief executive of Primark parent company Associated British Foods, said there was 'no likelihood' of that changing.

He added: "I can’t see how it will ever make financial sense. We ask people to come to our shops instead."

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A click-and-collect option is set to be rolled out to all stores across England, Wales and Scotland by the end of 2025, Mirror reports. It comes as sales at Primark - which employs 40,000 people in the UK - rose six per cent to a record near £9.5billion in the past year.

Profits were up a hefty 51 per cent to £1.1billion, helped by a range from singer Rita Ora. Mr Weston warned that thehike in employers’ national insurance announced in the Budget would cost Primark 'tens of millions' of pounds.

Asked whether it would lead to price rises, he said: "We will try very hard not to and to absorb it. We will search very hard for efficiencies." One hope is that a rise in the National Living Wage next April will boost shoppers’ spending power.

But he slammed Labour’s promised shake-up of business rates, with a focus on permanently lower bills for smaller shops, pubs and hospitality. He warned that big store chains such as Primark would be among those losing out.

They are often seen as major draw - or 'anchor' - for other city centre businesses. He said: "They are critical for the long-term of our high streets."

ABF's business also includes making sugar, groceries and ingredients. Group annual revenues rose four per cent to a record £20bn, with profits up 38 per cent to almost £2bn.