The sale of stock from the closure of Focus DIY outlets is not expected to have a major disruptive effect on the UK timber market, but the demise of the business will impact on some of its key suppliers, according to trade feedback.
Administrators Ernst & Young have sold 55 of Focus’s 178 stores; 31 to B&Q, 13 to Wickes and 11 to variety retailer B&M. It is still hoping to dispose of more, but most are now expected to close, putting up to 3,000 jobs at risk.
Stock liquidation from the remaining outlets is expected to start this weekend. Retail consultant Gordon Brothers has been taken on to advise on the process, which will begin with a closing down sale offering discounts across all stock lines.
“I’m not sure there’s going to be much discernible effect from this on the broader trade,” said one trader. “Some of the stock may be sale or return, some of it redistributed elsewhere.”
But another trader said Focus DIY’s closure could have a “significant effect” on some of its suppliers, notably in softwood.
For more on this story see this week’s TTJ.
