Sayers the Bakers, a 114-year-old British bakery chain, will shutter 19 locations and potentially cut 100 jobs as it faces rising costs, shifting consumer habits, and declining high street foot traffic
Sayers the Bakers, a staple of the United Kingdom's bakery scene since 1912, is preparing to close 19 of its stores by the end of August, putting roughly 100 jobs at risk. The company, which currently operates about 72 locations, cited persistent losses at certain shops and a challenging retail environment as key reasons for the decision. The closures represent the latest chapter in a long history of restructuring for the chain, which has already weathered two major rounds of administration in the past two decades.
Despite the global bakery market's steady growth-industry research shows the sector expanded from $549.1 billion in 2025 to $566.0 billion in 2026, with projections reaching $726.7 billion by 2034-many traditional bakeries are struggling to adapt. Sayers the Bakers pointed to a combination of inflation, higher labor and ingredient costs, and a marked decline in high street foot traffic as factors that have eroded profitability. According to the British Retail Consortium, U.K. high street visits fell 3.8% year-over-year in July 2026, following a 6.2% drop in June, reflecting a broader trend of consumers shifting away from brick-and-mortar shopping.
The company's management said the decision followed a comprehensive review of its store portfolio, with underperforming locations identified for closure. Sayers employs about 800 people, so the planned layoffs would affect roughly one in eight workers. The company emphasized that its priority is to safeguard the future of the business by investing in its remaining stores and protecting approximately 700 jobs. The specific locations of the 19 stores slated for closure have not yet been disclosed.
Retail Pressures and Changing Habits
Sayers the Bakers' struggles are emblematic of broader challenges facing U.K. retailers. The company noted that changing consumer shopping patterns-particularly the shift toward online purchases and reduced high street activity-have made it difficult to maintain sales volumes. Inflation has also driven up the cost of running physical stores, with many businesses unable to fully pass these increases on to customers without risking further declines in traffic.
Weather has played a role as well. Exceptionally hot and dry conditions in the U.K. this summer have discouraged shopping trips, compounding the impact of long-term trends. While total U.K. retail footfall across all locations was down 2.1% in July 2026, high streets have been hit hardest, with some months earlier in the year seeing declines of more than 9% compared to the previous year.
These pressures are not unique to Sayers. Other British retailers, such as River Island, have also announced significant store closures in response to similar headwinds. For example, River Island recently revealed plans to shut 33 stores as it restructures to address changing consumer habits and rising operating costs.
History of Restructuring
Sayers the Bakers has a long history of adapting to adversity. Founded as a family business in Liverpool, the company has undergone multiple ownership changes and rebrandings, including the launch of Poundbakery to compete with discount rivals. In 2008, its then-parent company, Lyndale Group, entered administration due to surging raw material and energy costs, resulting in the closure of its main manufacturing plant and 41 retail outlets, with 450 jobs lost. A management buyout preserved 158 stores at that time.
Further challenges emerged in 2019, when Sayers the Bakers again entered administration after reporting consecutive operating losses and declining sales. The business was rescued through a prepack buyout led by investor Karen Wood and existing managers, forming Sayers and Poundbakery Limited (now S&PB Retail Ltd). This deal saved about 1,400 jobs but led to 11 immediate store closures. Since then, the company has continued to adjust its footprint, including closing three stores in August 2025.
What's Next for Sayers the Bakers
While Sayers the Bakers has largely exited Liverpool, it still operates more than 20 shops across Merseyside and another 40 throughout the U.K. The company says its focus is now on strengthening its core business and preserving its presence on the high street, where it has operated for over a century. Management has not ruled out further changes if market conditions remain difficult, but insists that the current round of closures is necessary to ensure long-term viability.
For employees and communities affected by the closures, the announcement underscores the risks facing traditional retailers in a rapidly evolving consumer landscape. The company has not yet provided details on severance or support for displaced workers, but says it is committed to minimizing disruption where possible.
According to the Office for National Statistics, U.K. inflation remained elevated in mid-2026, with food prices up 7.2% year-over-year in June. Average weekly earnings in the U.K. rose 5.7% in the three months to May 2026, but wage growth has struggled to keep pace with rising living costs, putting additional pressure on both consumers and businesses. The Bank of England's benchmark interest rate stood at 5.25% as of July 2026, its highest level since 2008, further increasing borrowing costs for companies with debt-financed operations.
Retailers that rely on high street locations face a complex set of challenges as consumer behavior evolves. The shift toward online shopping, combined with persistent inflation and higher operating costs, has forced many established brands to rethink their business models. For companies like Sayers the Bakers, survival increasingly depends on the ability to adapt quickly, optimize store networks, and find new ways to connect with customers in a changing retail environment.
