The Co-op has revealed a £40m hit from shoplifting in the first half of the year as it said criminals were becoming “more brazen” in its stores.
The retailer said that costs incurred from theft were up 19pc in the first six months of the financial year, jumping to £39.5m from £33m during the same period in 2023.
Matt Hood, the managing director of Co-op Food, said this reflected an “ongoing epidemic” of crime in the retail sector, which has gained traction in recent years.
Figures from the Office for National Statistics signalled earlier this year that shoplifting cases were at a record high, which has led to retailers criticising police over an alleged failure to respond to in-store incidents.
Mr Hood said: “It is the organised crime and seasoned shoplifters that are causing this issue. I think the reality is it’s becoming more brazen, but the fact that we’re investing in things that put people off shoplifting from our shops is key.”
The Co-op has spent £18m so far this year to improve CCTV and tighten security around checkout tills, as bosses battle to improve staff safety.
Mr Hood said: “It is really important for me to point out that the monetary cost is small compared to the physical and mental wellbeing of all of my store colleagues who face this issue every single day. It just fundamentally shouldn’t be part of their job.”
The comments come ahead of the introduction of new legislation that will make it an offence to assault a shop worker. The offence is expected to carry a maximum sentence of six months in jail.
Police are also under pressure to act, with the new Crime Bill requiring them to investigate even if the stolen goods are worth under £200.
Mr Hood said: “The sooner that can get through from being legislation to law, the better.”
Despite the extra costs incurred from shoplifting, the Co-op revealed it had swung back into a profit last year.
The company, which also offers funeral services and insurance, posted a pre-tax profit of £58m for the first six months of 2024, compared to a £33m loss during the same period last year.
The up-tick followed an increase in membership numbers across its stores, as a total of 5.5m people are now part of its loyalty scheme, up from 4.6m last year.
The Co-op has been focusing on adding more younger people to its membership scheme, which allows people to access cheaper prices.
It said it was looking for “ways to reach more members”, with bosses aiming to open 120 more food shops by the end of 2025.
Disclaimer: The copyright of this article belongs to the original author. Reposting this article is solely for the purpose of information dissemination and does not constitute any investment advice. If there is any infringement, please contact us immediately. We will make corrections or deletions as necessary. Thank you.
