Matalan announces 25-million-pound store expansion

British fashion and homeware retailer Matalan has announced a 25 million pound investment plan in its UK store estate this year, with a focus on expanding its national footprint with new openings and modernising layouts of existing stores to enhance customer experience.

In a statement, Matalan said the investment would go towards upgrading 30 stores and opening 10 new or relocated sites across key regions, including London, Essex, Hampshire and Northern Ireland.

The multimillion-pound investment plan it states will help it to accelerate its business transformation strategy and follows the 25 million pounds of additional funding secured from its anchor investors in April 2025.

The move is the first phase of a long-term programme to modernise Matalan’s full estate over the next three to five years. The retailer aims to open 10 new stores annually, focusing on new locations where it can bring its combination of style, quality, and value to customers for the first time.

Matalan to open 10 new stores and renovate 30 locations by the end of 2025

In addition to new store openings, Matalan will invest in significant upgrades for 30 existing stores each year.

The upgrades planned will involve improving layouts and elevating store design to allow for a more “seamless shopping experience,” for instance, by creating greater definition between key departments and relocating all services like fitting rooms and tills to a single, more accessible area.

Matalan is also planning new customer-focused technology, including faster and easier-to-use self-service tills in larger checkout areas, which will also be rolled out across the refreshed locations.

Recently refurbished stores in Croydon, Linwood, Bristol Filton, and Dumfries have already seen “a significant increase in sales,” ahead of expectations, the retailer added.

James Dorling, property director at Matalan, said: “Matalan storefronts have been a fixture of UK communities for 40 years, so it is only right that bricks-and-mortar retail remains at the centre of our transformation programme.

“With ten exciting new store openings and extensive refurbishments across our estate, this investment marks a step-change in our strategy – creating a better, more seamless shopping experience for our loyal existing customers, while also introducing the Matalan brand to new consumers.”

Matalan also added that as an omni-channel retailer, it plans to use the new funding to invest in its digital and e-commerce offer, including the launch of a new app, which will underpin its e-commerce channel and loyalty programme.

The fashion and homeware retailer has a large store network with more than 265 UK and international stores and an integrated e-commerce platform.