Month: March 2026

The UK and Ireland have strengthened their economic partnership as leaders gathered in Cork for the second UK-Ireland Summit, where Prime Minister Sir Keir Starmer announced £937 million in new Irish investment expected to create around 850 jobs across the United Kingdom.
The investment comes from 15 Irish companies operating in sectors ranging from artificial intelligence and renewable energy to telecommunications and corporate services. The projects will support economic growth in communities across the UK, including London, Doncaster, South Wales and Scotland, and form part of a broader push to deepen economic and strategic cooperation between the two countries.
Speaking ahead of the summit, Starmer said closer collaboration between the UK and Ireland was essential at a time of global economic uncertainty and rising cost-of-living pressures.
“As people on both sides of the Irish Sea feel the cost-of-living squeeze, we are investing in partnerships that make us better off and more secure,” he said. “The UK’s close friendship with Ireland is going from strength to strength, and this new investment is part of a much bigger picture of flourishing cultural, commercial and security ties.”
The Prime Minister added that strengthening relationships with key partners would help the UK navigate global challenges while supporting economic stability for families and businesses.
The new investment is also being framed by the government as a vote of confidence in the UK’s Modern Industrial Strategy, which aims to attract high-value international investment and drive productivity and sustainability across key industries.
Many of the investments have been supported by Enterprise Ireland, the Irish government’s trade and innovation agency, which recently published data showing that the UK remains Ireland’s most important export market. According to the agency, almost two-thirds of Irish companies already maintain a physical presence in the UK and the majority plan to increase their investment over the next 12 months.
A business roundtable held in Cork ahead of the summit brought together senior figures from UK and Irish companies across energy, infrastructure and technology sectors to discuss investment opportunities and economic collaboration.
Robert Adams, president of FOCUS Capital Partners, said London’s position as a global financial centre made it a natural base for international investment firms expanding into the UK.
“The UK is a highly attractive market for investment,” Adams said. “Expanding our presence in London allows us to work more closely with ambitious UK companies and support Irish and international investors seeking opportunities in the market.”
Irish engineering services firm Ayrton Group also confirmed plans to expand its UK operations, citing the size and diversity of the British market as key reasons for its investment strategy.
Managing director Kieran Linehan said the company had long viewed the UK as its most strategic expansion destination.
“The UK market has always been a natural fit for us,” he said. “Its scale, the strong cultural and business relationships between our countries and the shared language make it easier for Irish companies to grow here compared with many other international markets.”
Alongside economic investment, energy security has emerged as a key focus of the summit. Both governments welcomed progress toward the development of two major energy interconnectors linking the UK and Ireland.
One project will connect Wales and Ireland, delivering enough electricity to power around 570,000 homes and representing at least £740 million in private investment across both countries. A second interconnector between Northern Ireland and the Republic of Ireland is expected to help reduce electricity costs and strengthen energy resilience on both sides of the border.
Interconnectors allow countries to share electricity across national grids, helping balance supply and demand. They can enable the UK to export surplus renewable energy to European markets while importing lower-cost electricity when needed.
The projects are also part of broader efforts to strengthen energy cooperation across the Irish Sea as governments seek to accelerate the transition to cleaner power sources while maintaining stable energy supplies.
Beyond energy, the summit also addressed growing security concerns around critical infrastructure. The UK and Ireland agreed to enhance cooperation on protecting subsea fibre optic cables, which carry vast volumes of digital communications and underpin economic activity and national security for both nations.
Both countries will conduct joint exercises to test responses to potential incidents affecting these cables, reflecting concerns about the vulnerability of underwater infrastructure to sabotage or disruption.
In addition, the two governments have refreshed their defence memorandum of understanding to strengthen collaboration on maritime security, cyber threats and defence procurement.
The updated agreement includes measures to improve information-sharing and coordination in response to hostile activity in the Irish and Celtic Seas, including threats posed by Russian vessels and so-called “shadow fleet” shipping networks used to evade sanctions.
The investments announced at the summit span a wide range of sectors and regions across the UK. Irish technology firm Version 1 plans to create around 400 new roles in Northern Ireland in fields such as artificial intelligence, engineering and digital transformation. Aviation technology specialist Amach has announced a £45 million investment to create 150 high-skilled jobs across the UK over the next three years.
Telecommunications infrastructure company Step Telecoms will invest £25 million in a new 200-kilometre fibre optic cable linking the Welsh coast to major data centre hubs in Newport.
Meanwhile, Irish investment firm Elkstone has launched a €200 million venture capital fund, with around 20 per cent of the capital earmarked for startups and scale-ups in Northern Ireland.
Several companies are also expanding in the property and infrastructure sectors. The O’Flynn Group is continuing its investment in the UK’s student accommodation market, including a £35 million development in Manchester that will deliver 173 new student beds.
Other projects include Johnston Fitout Group’s new showroom and office expansion in Doncaster and a £170 million investment by Gas Networks Ireland to decarbonise compressor stations in Scotland.
Together, the projects reflect deepening economic ties between the UK and Ireland, with both governments seeking to strengthen collaboration across industries critical to long-term growth, energy security and digital infrastructure.
Starmer said the strengthening partnership between the two countries was delivering tangible benefits for workers and businesses on both sides of the Irish Sea.
“The action this government has taken to reset relationships and deepen partnerships with our closest allies is paying off,” he said. “It will help us withstand global challenges and protect money in the pockets of families up and down the country.”
Read more:
UK and Ireland strengthen economic partnership as £937m investment set to create 850 jobs

Formula 1 is expected to cancel the Bahrain and Saudi Arabian Grands Prix as the escalating conflict in the Middle East continues to destabilise the region, with the decision likely to reduce the 2026 calendar to 22 races.
The two races, scheduled to take place in April, were due to form the fourth and fifth rounds of the championship. The Bahrain Grand Prix had been planned for 10–12 April before the sport was set to travel to Jeddah for the Saudi Arabian Grand Prix on 17–19 April.
However, both Bahrain and Saudi Arabia are among several Gulf states that have been targeted by Iranian strikes in retaliation for US and Israeli military operations in the region. The deteriorating security situation has raised serious concerns across international sporting bodies, airlines and logistics operators, with Formula 1 now expected to formally call off both events.
Sources indicate that the announcement could be made before the end of the weekend as the sport assesses the rapidly changing geopolitical landscape.
Safety remains the overriding priority for both Formula 1 and motorsport’s governing body, the Fédération Internationale de l’Automobile (FIA). With tensions escalating across the Gulf and no clear signs of de-escalation, the championship’s organisers are understood to have concluded that staging races in the region in April would present unacceptable risks.
Business Matters, which is currently in China with the Aston Martin Aramco Formula 1 team ahead of the Chinese Grand Prix weekend in Shanghai, understands that the races will likely be removed entirely from the calendar rather than postponed.
If confirmed, the cancellations will leave a notable gap in the early-season schedule. Following the Japanese Grand Prix, which takes place from 27–29 March and serves as the third round of the championship, Formula 1 would not return to action until the Miami Grand Prix on 1–3 May.
That would create an unusual five-week break in the racing calendar during April, a period that normally features several Grands Prix as the season builds momentum.
While Formula 1 has occasionally rearranged or replaced cancelled races in previous seasons, sources suggest that the already packed March-to-December calendar makes it unlikely that replacement venues will be found at short notice. As a result, the 2026 championship is expected to run over 22 race weekends instead of the originally planned 24.
The Middle East has become a key region for Formula 1 over the past two decades, with races in Bahrain, Saudi Arabia, Qatar and Abu Dhabi forming an important part of the championship’s global expansion strategy.
Bahrain first joined the calendar in 2004 and traditionally hosts the opening race of the season, while the high-speed street circuit in Jeddah made its debut in 2021 as part of the sport’s growing presence in the Gulf.
Both races have become major sporting and commercial events, attracting large international audiences and significant investment from host governments.
However, the current conflict has already begun to disrupt global transport networks, energy markets and commercial shipping routes across the region, raising broader concerns about the feasibility of large-scale international events.
Teams, logistics partners and broadcasters also face complex operational challenges when transporting equipment and personnel across a region experiencing heightened military activity.
The situation is being monitored closely by Formula 1 Management, the FIA and race organisers, who are expected to issue formal confirmation once final discussions conclude.
In the meantime, attention remains on the Chinese Grand Prix weekend in Shanghai, where Mercedes driver George Russell is aiming to build on his opening-race victory and extend his early lead in the championship standings.
With the season potentially losing two races, the fight for points could become even more intense as drivers and teams compete across a shorter calendar in what is already shaping up to be a highly unpredictable year in Formula 1.
Read more:
F1 set to cancel Bahrain and Saudi Arabian Grands Prix amid Middle East conflict

The UK economy stalled at the start of the year as households cut back on discretionary spending, with restaurants and food services experiencing a sharp decline in activity.
New figures from the Office for National Statistics (ONS) show that gross domestic product (GDP) recorded zero growth in January, falling short of economists’ expectations and marking a slowdown from the modest 0.1% growth recorded in December. Analysts had forecast that output would expand by around 0.2% over the month.
The disappointing performance highlights the fragile state of the UK economy even before the latest geopolitical shock from the escalating US-Israeli conflict with Iran, which economists warn could further dampen growth by pushing energy prices higher and fuelling inflation.
The ONS said the overall economic picture remained “subdued”, with consumer-facing sectors particularly weak. Within the dominant services sector, which accounts for around 80% of UK economic activity, there was a notable 2.7% drop in food and drink service activity as households curtailed spending on eating out.
This contraction in hospitality suggests that the pressure on household finances continues to weigh heavily on consumer behaviour. Restaurants and pubs are often among the first sectors to feel the impact when consumers begin tightening their budgets.
More broadly, the services sector showed no growth overall during the month, underscoring the cautious spending environment facing businesses.
Other parts of the economy also delivered mixed results. Industrial production slipped by 0.1% during January, while construction activity provided one of the few bright spots, expanding by 0.2% over the month.
The flat reading follows a period of slowing economic momentum during the second half of 2025, when uncertainty over tax changes, rising unemployment and lingering cost-of-living pressures led many consumers to reduce spending.
Although the monthly GDP figure showed stagnation, the three-month measure of economic activity, which is typically less volatile, indicated modest growth. In the three months to January, the UK economy expanded by 0.2%, slightly stronger than the 0.1% recorded in the previous three-month period.
However, economists say the underlying picture remains weak, particularly as global developments threaten to worsen inflation and slow economic activity further.
The latest data was compiled before the outbreak of hostilities involving the United States, Israel and Iran, which has sent global energy prices sharply higher. Oil prices have surged and wholesale gas markets have become increasingly volatile, raising concerns about a renewed cost-of-living squeeze for British households.
Prime Minister Sir Keir Starmer warned earlier this week that the longer the Middle East conflict continues, the more likely it is to have a tangible impact on the UK economy.
Higher energy prices are already feeding through to petrol and diesel costs, while households covered by Ofgem’s energy price cap will remain shielded from immediate increases until the next adjustment period in July.
Nonetheless, economists warn that sustained energy price rises could quickly push inflation higher again. Before the conflict erupted, inflation had been expected to fall to the Bank of England’s 2% target by the spring. A renewed surge in energy costs could derail that trajectory.
The shift in the inflation outlook has already affected financial markets. Expectations that the Bank of England would begin cutting interest rates as early as March have largely evaporated, with economists now widely anticipating that policymakers will hold rates steady when they meet next week.
This change in interest rate expectations has had an immediate impact on the mortgage market. Hundreds of mortgage deals have been withdrawn by lenders in recent days, while average mortgage rates have climbed back to levels not seen since last spring.
If the geopolitical tensions persist, analysts say higher borrowing costs and weaker consumer confidence could undermine Labour’s central economic priority of accelerating growth.
Chancellor Rachel Reeves acknowledged the challenges facing the economy, saying the government remained committed to its long-term economic strategy.
“Our economic plan is the right one, but I know there is more to do,” she said.
“In an uncertain world, we are building a stronger and more secure economy by cutting the cost of living, reducing national debt and creating the conditions for growth so that all parts of the country can prosper.”
Opposition figures were quick to criticise the government’s economic performance. Shadow chancellor Sir Mel Stride said Labour had left the economy exposed to external shocks.
“Labour’s economic mismanagement has left the UK vulnerable to the potential consequences of the Iran conflict,” he said.
“They must now take urgent action, including cutting fuel duty, supporting North Sea oil and gas production and putting forward a credible plan to reduce the deficit and bring down the benefits bill.”
Looking ahead, economists believe growth is likely to remain subdued throughout much of the year.
The Office for Budget Responsibility recently downgraded its forecast for UK economic growth in 2026 to 1.1%, down from its earlier estimate of 1.4%.
Yael Selfin, chief economist at KPMG UK, said the latest GDP figures suggested the economy had begun the year on weak footing and could struggle to regain momentum.
“The UK economy started the year on the back foot and activity is expected to weaken further amid sharply rising energy prices,” she said.
Selfin added that government borrowing costs have increased in recent weeks as financial markets reassess the outlook for interest rates. Higher borrowing costs could act as a headwind for businesses and households alike.
“With expectations for weaker growth combined with rising costs, businesses are likely to scale back investment plans,” she said.
For policymakers, the challenge now lies in navigating a fragile domestic economy while responding to external shocks that threaten to push inflation higher and delay any relief from elevated interest rates.
Read more:
UK economy stalls in January as hospitality slowdown drags growth to zero

British perfumier Jo Malone is being sued by Estée Lauder Companies for using her own name in a fragrance collaboration with high street retailer Zara, in a legal dispute that highlights the complexities of brand ownership when a founder sells the rights to their name.
The American cosmetics giant purchased Malone’s original fragrance business, Jo Malone London, in 1999, acquiring not only the brand but also the commercial rights associated with her name. The deal allowed Estée Lauder to expand the luxury fragrance label globally, but it also placed contractual restrictions on Malone’s ability to use the “Jo Malone” name in connection with fragrance marketing in the future.
The latest dispute relates to a collaboration between Zara and Malone’s newer brand, Jo Loves. The partnership, which began in 2019, produced a range of fragrances sold through Zara stores and online platforms. However, Estée Lauder has taken issue with the use of Malone’s name on the product packaging, which reportedly included the wording: “A creation by Jo Malone CBE, founder of Jo Loves.”
Estée Lauder claims the wording breaches the terms agreed when Malone sold her original company. The group has filed legal action against Malone personally, her Jo Loves business and Zara’s UK arm, alleging trademark infringement, breach of contract and “passing off”, a legal claim that customers may be misled into believing the products are linked to the Jo Malone London brand.
A spokesperson for Estée Lauder Companies said Malone had accepted clear contractual obligations when she sold the company more than two decades ago. The spokesperson said she had been compensated as part of the agreement and had complied with its terms for many years. They added that while Malone is free to pursue new business ventures, the company would act to protect the brand it had invested in building if contractual terms were breached.
Zara UK has declined to comment on the case, and Malone has yet to publicly respond to the claims.
Malone originally founded her fragrance business in the early 1990s, developing a reputation for distinctive scents inspired by British nature, gardens and seasonal ingredients. The brand quickly gained popularity for its elegant fragrances and minimalist design, expanding into candles, bath products and home fragrances before its acquisition by Estée Lauder.
Following the sale, the brand grew into a global luxury fragrance powerhouse with boutiques around the world. However, Malone eventually stepped away from the company she founded.
In 2011 she returned to the fragrance industry by launching Jo Loves, a new brand designed to reflect her continued passion for scent creation. The business focuses on niche fragrances and lifestyle products and operates independently of Jo Malone London.
Despite this separation, the current lawsuit suggests Estée Lauder believes the Zara collaboration blurred the distinction between the two brands by prominently referencing Malone’s name in connection with fragrance products.
The collaboration with Zara brought Malone’s fragrance expertise to a broader audience, with perfumes priced significantly lower than traditional luxury fragrances. Zara has increasingly developed partnerships with well-known perfumers as it expands its lifestyle and beauty offerings.
However, the presence of Malone’s name on the packaging appears to have triggered legal concerns for Estée Lauder, which remains highly protective of the Jo Malone London trademark.
Malone has previously spoken about regretting the decision to sell the commercial rights to her name when she sold the original company. Such arrangements are common in industries such as fashion and beauty, where founders’ names often become powerful global trademarks. When those brands are sold, the acquiring company typically retains exclusive rights to use the name within certain commercial categories.
The dispute now places the focus on how those contractual restrictions should be interpreted. The case is expected to examine whether the wording used in the Zara collaboration constitutes commercial use of the “Jo Malone” name in a way that violates the original agreement.
Trademark disputes involving personal names are relatively common in the luxury goods sector, particularly when founders attempt to launch new businesses in the same industry after selling their original brands.
For Estée Lauder, the Jo Malone London label remains one of its most successful fragrance brands, making the protection of its intellectual property a priority. For Malone, the case highlights the long-term implications of selling a brand built around a personal identity.
The legal proceedings are likely to centre on whether consumers could reasonably be confused about the origins of the fragrances and whether Malone’s involvement in the Zara collaboration breached the restrictions set out in the original sale agreement.
The outcome could have wider implications for entrepreneurs who sell businesses tied closely to their own names, particularly in industries where branding and personal reputation are deeply intertwined.
Read more:
Jo Malone sued by Estée Lauder over use of her own name in Zara fragrance collaboration

Young workers could be among the biggest casualties of the government’s new workers’ rights legislation, with retailers warning the reforms risk worsening Britain’s growing youth unemployment problem.
Industry leaders say the Employment Rights Act, which recently received royal assent, could lead employers to scale back flexible and entry-level roles as businesses adjust to higher employment costs and tighter regulation. The British Retail Consortium (BRC) argues that the changes could unintentionally restrict opportunities for younger workers who often rely on part-time or flexible jobs as their first step into employment.
The warning comes as youth unemployment continues to climb across the UK. Official forecasts suggest overall unemployment could reach 5.3 per cent this year, while joblessness among younger people has already reached its highest level in more than a decade.
Former Labour health secretary Alan Milburn, who is currently leading a government-commissioned review into youth employment and economic inactivity, has described the situation as an “existential crisis” for Britain, highlighting the scale of the challenge facing policymakers.
Retail leaders fear the new employment rules could discourage companies from offering the type of flexible roles that many younger people depend on.
The legislation introduces a number of significant workplace reforms, including giving workers on zero-hours and low-hours contracts the right to request guaranteed working hours. It also introduces day-one eligibility for statutory sick pay, shortens the qualification period for unfair dismissal protections, and makes it easier for workers to secure trade union recognition.
While the government argues the measures will improve job security for millions of workers, the BRC says they may create additional costs and administrative complexity for employers, particularly in sectors that rely heavily on flexible staffing models.
Retailers warn that if businesses respond by reducing hiring or limiting flexible contracts, entry-level positions may be the first roles to disappear.
“Local, flexible jobs are important first steps into work for young people across the country,” said Helen Dickinson, chief executive of the British Retail Consortium. “Whether it is a Saturday job around studies or shifts alongside caring responsibilities, these roles are relied upon and valued by many.”
She added that with youth unemployment already rising, policymakers must ensure reforms tackle poor employment practices without choking off opportunities for younger workers entering the labour market.
The retail sector plays a crucial role in providing early work opportunities for younger people.
According to industry data, around 780,000 retail jobs are held by workers aged between 16 and 25, representing roughly 28 per cent of the sector’s workforce.
These roles often include part-time shifts, weekend work or seasonal employment that can be combined with education, training or other commitments.
A survey commissioned by the BRC found that 70 per cent of people aged 18 to 29 consider flexibility in working hours to be important, rising to nearly three-quarters among those in part-time employment.
By comparison, only 52 per cent of adults overall rated flexible work as a key priority.
Retailers say this demonstrates how critical flexible employment is for younger workers balancing education, family responsibilities or early career exploration.
The industry warns that if employers become reluctant to offer flexible arrangements because of regulatory or financial pressures, Gen Z workers could lose a vital pathway into the workforce.
Concerns over the Employment Rights Act come amid broader tensions between retailers and the government over the rising cost of employment.
Businesses have already criticised increases to employer national insurance contributions and the national living wage, which were introduced as part of Labour’s first autumn budget.
Many employers argue that the combined effect of higher payroll taxes, wage increases and new workplace regulation is creating a more difficult hiring environment.
During an appearance before the Commons Treasury Select Committee, Chancellor Rachel Reeves acknowledged criticism surrounding the national insurance increase, saying there was a “valid argument” that it could have been avoided.
However, Reeves defended the decision, stating that the tax rise helped fund improvements to the NHS and reduce waiting lists.
Retail leaders remain concerned that further cost increases could slow recruitment, particularly in sectors with tight margins and large workforces.
The debate over workers’ rights legislation comes at a time when youth employment is already under scrutiny.
Recent official figures suggest nearly one million people aged 16 to 24 in the UK are currently not in education, employment or training (NEET).
Economists and labour market experts warn that prolonged periods outside work or education can have lasting effects on young people’s future earnings, skills development and career prospects.
Retail and hospitality sectors have historically provided entry-level roles that help young people gain experience, build confidence and develop transferable workplace skills.
If those opportunities shrink, experts fear it could make it harder for young people to enter the labour market and progress into long-term careers.
Despite industry concerns, ministers insist the legislation will ultimately strengthen the labour market rather than weaken it.
A government spokesperson said supporting young people into employment remains a priority, pointing to the ongoing review led by Alan Milburn.
The government argues the Employment Rights Act will improve job security for more than 18 million workers, including younger employees who are often overrepresented in insecure or low-paid work.
Officials also maintain that businesses will still be able to offer flexible working arrangements where both employer and employee agree.
“The Employment Rights Act will boost employment and improve job security for over 18 million workers, with young people among the biggest winners,” the spokesperson said.
“It will not mean businesses have to reduce their flexible roles and employers and employees will continue to be able to agree hours that suit them best.”
The debate highlights the broader challenge facing policymakers: how to improve employment protections without discouraging job creation.
Supporters of the legislation argue stronger rights will create fairer and more stable workplaces, helping to address insecure employment practices that have grown in parts of the economy.
Critics, however, warn that well-intentioned reforms could have unintended consequences, particularly for younger workers seeking their first job.
With youth unemployment rising and economic growth remaining modest, the effectiveness of the reforms may ultimately depend on whether businesses continue to create accessible entry-level roles.
For many young people entering the workforce, those first opportunities could prove decisive in shaping their long-term career prospects.
Read more:
Labour workers’ rights law could hit Gen Z jobs hardest, retailers warn

The John Lewis Partnership has reinstated its staff bonus for the first time in four years, awarding employees a 2 per cent payout after a modest improvement in sales and underlying profits.
The decision marks a symbolic milestone for the employee-owned retailer, which has spent the past several years navigating pandemic disruption, rising costs and intense competition across the UK retail sector.
The partnership, which operates 36 John Lewis department stores and around 320 Waitrose supermarkets, reported profit before tax and exceptional items of £134 million for the year to the end of January. That represents a modest improvement from £126 million the previous year.
However, statutory results told a different story. The group recorded a statutory loss before tax of £21 million, compared with a £97 million profit a year earlier, largely due to one-off costs including the write-down of legacy technology systems.
Despite the accounting loss, the improvement in underlying performance was enough for management to restore the long-awaited bonus for its 70,000 employee-owners, known internally as partners.
Overall group sales increased 5 per cent year-on-year to £13.4 billion, reflecting stronger trading across both of the partnership’s main retail brands.
The grocery arm Waitrose delivered the strongest performance, with sales rising 7 per cent to £8.5 billion, supported by a 3 per cent increase in volumes as the supermarket chain attracted more shoppers.
Meanwhile the John Lewis department store business reported sales growth of 3 per cent to £4.9 billion, as the retailer sought to stabilise its position in a competitive market increasingly shaped by online platforms, fast-fashion brands and discount rivals.
Despite the improving figures, the company warned that several cost pressures continued to weigh on its overall profitability.
The partnership said profits were “held back” by £53 million of headwinds, including the recent rise in employer national insurance contributions, the introduction of the extended producer responsibility levy, and cautious consumer spending during the Christmas period.
For many employees, the reinstatement of the annual bonus carries symbolic importance after a prolonged period without payouts.
The John Lewis Partnership traditionally shares a proportion of its profits with staff through an annual bonus that has historically been one of the retailer’s defining features.
However, bonuses were suspended during the pandemic after lockdown restrictions forced store closures and significantly reduced revenue.
The freeze began in 2020, marking the first suspension of the bonus since 1953.
Although the payment briefly returned in 2022 at 3 per cent, it was subsequently cancelled again as the company battled losses and undertook a major restructuring programme.
In previous decades the bonus had been far more generous. During the late 1980s employees received payouts worth as much as 24 per cent of annual salary, reflecting the retailer’s stronger profitability at the time.
The newly announced 2 per cent bonus therefore represents a cautious step toward restoring one of the partnership’s most distinctive traditions.
The decision comes under the leadership of Jason Tarry, the former Tesco UK boss who became chairman of the John Lewis Partnership in September 2024.
Tarry has been tasked with reviving the fortunes of the historic retailer following years of declining profits, store closures and strategic missteps.
Under his leadership the company has begun refocusing on its core retail operations, reversing earlier efforts to diversify into areas such as property development.
One notable change was the decision to abandon the partnership’s controversial build-to-rent housing strategy, which had planned to construct rental homes on land owned by Waitrose supermarkets.
The retailer said shifting economic conditions, including higher interest rates and construction costs, meant the project no longer met its investment criteria.
Instead, the partnership is doubling down on retail, committing to £800 million of investment across its stores as part of a long-term plan to improve customer experience, modernise shops and strengthen its digital capabilities.
Tarry said the early signs suggested the company’s new “retail-first strategy” was starting to deliver improvements.
“Our multi-year plan to invest in customers and our brands for the long term is working,” he said.
“We have grown customer numbers and achieved record satisfaction. We remain on track to make further progress this year.”
The partnership said its improved financial position, including stronger liquidity and relatively low levels of external borrowing, meant it could continue investing in its transformation plans despite the uncertain economic outlook.
Management believes the strategy will allow the business to win back shoppers, strengthen brand loyalty and unlock growth opportunities across both Waitrose and John Lewis.
Despite the restoration of the bonus, executives struck a cautious tone about the wider economic environment.
Tarry warned that the retail sector remained challenged by weak consumer confidence, rising operating costs and intense competition, describing the market conditions as “subdued”.
The partnership said it remained “well positioned to navigate the challenging macroeconomic environment”, but acknowledged that further work was required to restore the company to sustained profitability.
“We are confident in making further steps forward in the year ahead as we progress our multi-year transformation,” Tarry said.
For the wider retail industry, the return of the John Lewis bonus carries symbolic significance.
The partnership’s employee-owned model has long been held up as an example of profit-sharing and staff engagement within British retail, with bonuses traditionally seen as a reward for collective performance.
After several difficult years marked by restructuring, store closures and rising competition from online rivals, the reinstatement of the bonus is being viewed internally as a sign that the retailer’s turnaround efforts may finally be gaining traction.
While the payout remains modest compared with historic levels, the return of the bonus suggests the partnership is beginning to regain stability after one of the most challenging periods in its 162-year history.
Read more:
John Lewis reinstates staff bonus after four-year hiatus

The UK government has announced a new package of initiatives designed to boost female participation in the technology sector, including a £4 million programme to support hundreds of women into tech jobs and inspire thousands of schoolgirls to pursue digital careers.
The measures form part of a broader strategy aimed at addressing the persistent gender imbalance across the technology industry, where women remain significantly underrepresented despite the sector’s rapid growth and importance to the UK economy.
Ministers say the initiatives are intended to help women enter, remain in and return to technology roles, while also encouraging more girls to consider technology careers earlier in their education.
At the centre of the announcement is the new TechFirst Women’s Programme, backed by £4 million of government funding. The scheme aims to create at least 300 paid placements in technology roles across the UK.
The programme will work with businesses, including small and medium-sized enterprises, to identify opportunities for women to gain experience in fields such as software development, digital engineering, data science and artificial intelligence.
Participants will receive career coaching, interview preparation and technical support to help them secure roles and progress within the sector.
The government hopes the initiative will not only help individuals advance their careers but also support companies looking to adopt new technologies, particularly artificial intelligence, by giving them access to skilled workers.
Ministers say the programme addresses a significant economic issue. Research suggests the UK loses between £2 billion and £3.5 billion each year due to women leaving the technology sector.
Alongside the placement programme, the government is launching a pilot returnship scheme aimed at helping experienced developers re-enter the workforce after career breaks.
The initiative will initially operate within government departments including the Home Office and the Ministry of Justice.
The programme will target skilled software developers who have been out of work for at least 18 months, a group that includes many women who have taken time away from employment to care for children or family members.
Participants will be supported in returning to senior technology roles within the public sector, with the aim of tackling what many professionals refer to as the “CV gap” barrier that can prevent experienced workers from returning to their careers.
Officials say the scheme could later be expanded across other departments or into the private sector if successful.
The government is also attempting to address the gender gap earlier in the talent pipeline through a new national technology competition aimed at schoolgirls.
Later this year, thousands of girls aged 12 and 13 will be invited to take part in the TechFirst Girls Competition, a nationwide initiative designed to introduce students to coding, artificial intelligence and digital problem-solving.
The competition will challenge participants to develop creative solutions to real-world problems using technology, while also offering insight into how digital skills translate into future careers.
Technology company IBM will partner with the Department for Science, Innovation and Technology to deliver the programme.
The initiative builds on previous efforts such as the CyberFirst Girls Competition, which has already involved more than 10,000 students across the UK.
As part of the wider policy drive, the government’s Women in Tech Taskforce has launched a call for evidence to better understand the challenges women face when entering or progressing in the technology industry.
The consultation will gather insights from workers, businesses and industry organisations about issues ranging from recruitment practices to workplace culture and career progression.
The taskforce will also examine how emerging technologies such as artificial intelligence may be reinforcing existing inequalities.
Research has already shown that AI systems trained on historical employment data can replicate past biases. For example, some recruitment algorithms have been found to favour male candidates over female applicants when evaluating job applications.
Officials say gathering real-world experiences will help shape future policy designed to make the technology sector more inclusive.
Announcing the programme, Technology Secretary Liz Kendall said women continue to face significant barriers within the industry.
“I am very aware of the reality women face in tech: women aren’t being given a fair shot, whether that’s getting into the sector, staying in it, or returning after time away,” she said.
“If we don’t address these biases and barriers now, we’ll still be having this conversation in ten years’ time.”
Kendall said the government wanted to ensure women were not only entering the industry but also shaping its future.
“These aren’t warm words, they’re real jobs, real placements and real routes back in through a door that has been too hard to open for too long.”
Industry figures welcomed the announcement but emphasised that long-term structural change would be needed to close the gender gap in technology.
Anna Brailsford, chief executive of Code First Girls and a member of the Women in Tech Taskforce, said improving access to training and career opportunities could transform lives.
“Many women who have moved into tech started their journeys unsure if they belonged in the industry and are now thriving in high-impact roles,” she said.
“The UK’s ambition to lead in technology will only be realised if more women can see a clear and supported pathway into the sector from non-tech backgrounds.”
The government hopes the new measures will help strengthen the UK’s technology workforce at a time when demand for digital skills continues to grow rapidly across industries ranging from finance and healthcare to manufacturing and artificial intelligence development.
Read more:
Government launches new programme to help more women and girls enter the UK tech sector

A new green hydrogen production facility is set to be built in Milford Haven, Wales, marking a significant development for the UK’s emerging low-carbon hydrogen sector.
Commodities trading giant Trafigura confirmed that its energy arm, MorGen Energy, has approved the West Wales Hydrogen project, which will be located on the site of a former oil refinery in the Pembrokeshire port. Construction is expected to begin later this year, with the facility designed to produce around 2,000 tonnes of hydrogen annually.
The project represents one of the first commercial-scale hydrogen schemes to move forward under the UK government’s hydrogen allocation programme, which provides financial support to accelerate the development of low-carbon hydrogen production.
The Milford Haven facility will produce hydrogen using electrolysis, a process that splits water into hydrogen and oxygen using electricity generated from renewable sources.
Trafigura said the plant will be powered primarily by wind energy, ensuring the hydrogen produced qualifies as green hydrogen, meaning it generates no carbon emissions during production.
The hydrogen produced will be used across a range of industrial applications, including industrial heating, manufacturing processes and potentially transport, supporting efforts to decarbonise sectors that are difficult to electrify.
Michael Shanks, the UK’s energy minister, described the development as a major milestone for Britain’s clean energy ambitions.
“This project represents one of the UK’s first commercial-scale low-carbon hydrogen production plants,” he said.
To make the project financially viable, the UK government has agreed to guarantee a level of income for the plant for 15 years.
This support is designed to bridge the so-called “operating cost gap” between hydrogen production and conventional fossil fuels, which remain significantly cheaper in many cases.
In addition to the long-term revenue support mechanism, the project will also receive grant funding as part of the government’s broader strategy to scale up hydrogen production across the country.
Trafigura chief executive Richard Holtum said government support had been crucial to securing the final investment decision.
“The government’s backing was key to this project reaching final investment decision — demonstrating how public policy and private capital can work together to deliver new clean energy infrastructure,” he said.
The UK government has previously identified hydrogen as a critical part of its long-term decarbonisation strategy, particularly for heavy industry and sectors where electrification alone may not be sufficient.
Former prime minister Boris Johnson set a target in 2022 for the UK to produce 10 gigawatts of clean hydrogen capacity by 2030.
However, progress has been slower than expected. Several high-profile projects have stalled or been cancelled, including BP’s planned large-scale hydrogen development, which was scrapped in December.
Industry leaders have warned that the UK’s hydrogen ambitions risk falling behind competing economies due to delays in infrastructure, investment uncertainty and insufficient demand for hydrogen fuel.
Clare Jackson, chief executive of industry group Hydrogen UK, previously said the government’s 2030 production target now appeared “undeliverable” without faster policy and investment action.
Hydrogen is widely seen as an important part of the global transition to low-carbon energy systems because it produces no harmful emissions when burned.
There are two main ways hydrogen can be produced with lower carbon impact.
Green hydrogen is created using renewable electricity to split water into hydrogen and oxygen through electrolysis. Blue hydrogen is produced using natural gas, with the resulting carbon emissions captured and stored using carbon capture technology.
Potential uses for hydrogen include powering industrial processes, fuelling heavy transport, providing energy storage and potentially replacing natural gas for heating.
The UK government has described hydrogen as “essential” to achieving its ambitions to become a clean energy superpower while also supporting economic growth and industrial decarbonisation.
The electrolysers used in the Milford Haven project will be supplied by ITM Power, the Sheffield-based hydrogen technology company.
Electrolysers are the core technology used to split water molecules into hydrogen and oxygen using electricity, and demand for the equipment is expected to increase significantly as hydrogen production expands globally.
The involvement of ITM Power also highlights the potential for hydrogen projects to support UK manufacturing and technology supply chains.
Despite growing interest in hydrogen, the industry still faces several structural challenges.
These include the need for new pipelines and storage infrastructure, greater industrial demand for hydrogen fuel, and viable commercial business models to support production costs.
In the case of blue hydrogen projects, the development of carbon capture and storage infrastructure is also essential to ensure emissions are safely contained.
While the Milford Haven project is relatively modest in scale compared with some international hydrogen developments, it represents an important step in building a commercial hydrogen market in the UK.
As the country continues its transition toward cleaner energy sources, projects such as the West Wales Hydrogen plant are expected to play a key role in testing how hydrogen can be produced, distributed and used at scale across the British economy.
Read more:
Green hydrogen plant to be built in Milford Haven with government backing

Sir Winston Churchill and other historic figures currently featured on British banknotes are set to be replaced by wildlife under plans announced by the Bank of England following a nationwide public consultation.
The central bank confirmed that future designs for £5, £10, £20 and £50 notes will focus on animals, birds and other aspects of the natural world, marking a significant departure from more than half a century of celebrating historical personalities on UK currency.
Figures who could eventually disappear from circulation include the wartime prime minister Winston Churchill, novelist Jane Austen, landscape painter JMW Turner, and mathematician and codebreaker Alan Turing.
While the historical portraits will gradually be phased out, the monarch will continue to appear on the reverse side of all British banknotes.
The shift follows a major public consultation conducted by the Bank of England to determine what theme should appear on the next generation of banknotes.
According to the bank, more than 44,000 people took part in the consultation, with around 60 per cent of respondents selecting nature and wildlife as their preferred theme for future notes.
Other themes considered included architecture and landmarks (56 per cent), historical figures (38 per cent), arts, culture and sport (30 per cent), innovation (23 per cent) and notable milestones (19 per cent).
Victoria Cleland, the Bank of England’s chief cashier, said the redesign was primarily driven by security considerations but also offered an opportunity to showcase British identity in a different way.
“The key driver for introducing a new banknote series is always to increase counterfeit resilience,” she said. “But it also provides an opportunity to celebrate different aspects of the UK. Nature is a great choice from a banknote authentication perspective and means we can showcase the UK’s rich and varied wildlife.”
The Bank of England said nature-themed imagery offers advantages in combating counterfeiting, as detailed illustrations of animals, birds and landscapes are harder to reproduce illegally.
Future notes will incorporate the latest anti-counterfeiting technology alongside complex visual designs, making them more secure than existing polymer banknotes.
The redesign process is expected to take several years, with the new series unlikely to enter circulation until the late 2020s after extensive testing, design development and manufacturing preparations.
An expert panel has been assembled to create a shortlist of wildlife species that could feature on the new banknotes before the final selection is put to a public vote.
The panel includes wildlife filmmakers and presenters Gordon Buchanan, Miranda Krestovnikoff and Nadeem Perera, alongside conservation specialists including Katy Bell of Ulster Wildlife and academics Steve Ormerod and Dawn Scott.
The group will identify animals and natural scenes that reflect the diversity of ecosystems across the UK’s four nations.
Perera said wildlife is deeply intertwined with British identity and culture.
“The wildlife of the UK is not separate from our culture, it sits in our football crests, our folklore, our coastlines and our childhoods,” he said. “Giving it space on something as symbolic as our currency feels both overdue and significant.”
Despite the changes to the reverse side of the notes, the monarch will continue to appear on the front of all Bank of England currency.
Royal portraits have featured on British coins for more than 1,000 years, while Queen Elizabeth II appeared on banknotes from the 1960s onwards.
The Bank confirmed that the new designs will maintain this longstanding tradition.
The Bank of England has previously faced criticism over the lack of diversity among the figures featured on its notes.
Since historical personalities were first introduced to banknotes in 1970, none have represented Black or ethnic minority figures.
The move toward nature-themed imagery avoids debates about which historical figures should be included and instead highlights national landscapes and wildlife.
Future designs may also incorporate plants, habitats and landscapes alongside animals to create more complex and distinctive visual themes.
The development of a new banknote series is a lengthy process involving design competitions, security testing and approval by the Bank of England’s leadership.
The shortlist of wildlife candidates is expected to be unveiled later this year, with final approval resting with Andrew Bailey, governor of the Bank of England.
Once the design process is complete, the notes will enter a testing and printing phase before being gradually introduced into circulation.
If approved, the next generation of British currency will represent a dramatic visual change, replacing some of the country’s most recognisable historical portraits with images of the natural world.
Read more:
Churchill to be replaced by wildlife on future Bank of England banknotes