Home Bargains sales to surge as growth plans accelerate

TJ MORRIS,  the company behind North West low-cost retailer Home Bargains, is driving ahead with its expansion plans and expects to see annual sales rise by around 25% to top £400m for the first time.

The family-owned, Liverpool-based business, which sells leading brands at the low prices expects to open more than 30 shops this year, stepping into the void on the high street left by Woolworths.

Operations director Joe Morris, one of four brothers running the business, said Home Bargains was benefiting from hard-pressed consumers looking to make their money go further

“There is evidence that we’re benefiting from the flight to value. People are living longer, being students for longer and the time rich/ money poor sector is growing as people seek to make their money go further.

“We aim to offer the best brands at the lowest prices. Our motto is ‘if we can’t sell it cheaper than anyone else, we don’t sell it.'”

Mr Morris, whose elder brother Tom founded the business 30 years ago, said Home Bargains is growing at a “sensible, sustainable” rate.

“We have plans for around 30 stores this year – plus we are mid-way through a £35m investment in our new distribution centre in Liverpool. But we could open 40 or 50 shops, it depends what opportunities arise.”

Home Bargains has already taken on 14 former Woolworth shops, and is expanding into new locations – it has recently opened its first store in Scotland.

In the year to the end of June 2008 TJ Morris had a turnover of £383m. As a result of new store openings and higher sales at existing stores Mr Morris expects 2009 turnover to be up 25%.