Primark is set to introduce home delivery services in Great Britain for the first time, marking a significant shift in strategy as the discount fashion retailer seeks to address slowing sales and increasing competition. The announcement comes as Primark prepares to demerge from its parent company, Associated British Foods (ABF), with the split expected to be completed by December 2027.
Historically, Primark resisted offering online home delivery, citing its low-price business model as incompatible with the added costs of shipping and packaging. George Weston, ABF’s chief executive, had previously emphasized the challenge of maintaining thin margins while absorbing online operational expenses. However, the company recently acquired a £90 million automated fulfilment centre in Sheffield from online retailer Boohoo, which will accelerate Primark’s entry into profitable home delivery services across England, Scotland, and Wales. Northern Ireland will not be included in the initial rollout.
The move builds on Primark’s existing click and collect service and comes amid a reported 3% decline in sales for the quarter ending September 12, 2026. While sales in the UK and Ireland showed a modest increase of 0.4%, continental European markets experienced a 4.3% drop. Weston described trading conditions in Europe as “challenging” but noted positive early responses to the retailer’s “iconic value” campaign, which involved price cuts of up to 29% across various seasonal items.
Industry analysts view the home delivery launch as a response to mounting pressure from fast-fashion rivals such as Shein, Temu, and the Spanish group Inditex, whose UK expansion includes the launch of its Lefties brand. Dan Coatsworth, head of markets at broker AJ Bell, said Primark’s adoption of home delivery was necessary to keep pace with the evolving retail landscape. However, some experts remain skeptical about the profitability of online sales given Primark’s traditionally low price points and the operational complexities of home delivery.
Richard Hyman, an independent retail analyst, expressed concern that the new delivery channel could cannibalize in-store sales, ultimately undermining Primark’s core business. The retailer’s challenge will be balancing the potential growth from online customers with preserving its established high street presence.
The planned demerger of Primark from ABF will create two independently listed entities, with analysts projecting Primark’s valuation at around £9 billion, while the food business is expected to be valued at about £4 billion. George Weston will lead the food group, which includes brands such as Twinings and Kingsmill, after the separation. Eoin Tonge, who has experience with ABF, Marks & Spencer, and Greencore, will continue as Primark’s chief executive.
Founded in Dublin in 1969 under the original name Penneys, Primark launched its first UK store in Derby in 1974 and today employs over 80,000 people worldwide. The shift toward online delivery reflects broader changes in consumer behavior and retail competition, marking a notable evolution for the traditionally high street-focused brand.