Oxfam is reviewing the operations of its three UK warehouses and has said it “cannot give guarantees” on the future of its high street shops, citing a “difficult economic climate”.
The charity said it has no plans to close either warehouses or shops. But insiders fear the Batley site in West Yorkshire, which houses Oxfam’s main textile recycling centre, could shut as part of a cost-cutting drive because its lease is up for renewal. The other two warehouses are in Bicester and Milton Keynes. Together the three sites employ about 90 people.
A source said Oxfam was considering closing up to 100 of its more than 500 UK outlets because sales at some were no longer viable. “Donations have dropped off,” the insider said, adding that the shops were also facing competition from online sellers of secondhand goods such as Vinted. “Oxfam is always more expensive, and that’s starting to have an effect,” the source said.
Oxfam GB did not confirm any closure numbers. Lorna Fallon, its chief supporter officer, said: “As is standard practice, we keep all parts of our retail operations under review via regular meetings. While we cannot give guarantees in this difficult economic climate, we are confident in and positive about our current retail performance and do not have plans to close our shops or warehouses at this time.”
The pressure from secondhand marketplaces is not confined to Oxfam. Charity retailers across the sector have moved stock on to platforms such as Depop and Vinted in an effort to offset weaker sales in physical stores, while Vinted itself has moved into profit on the back of a 61 per cent rise in sales.
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