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Marks & Spencer has announced a landmark £340 million investment in its food supply chain – the largest in its history – as part of its strategy to reshape for growth. The investment will fund the development of a highly advanced automated National Distribution Centre (NDC) in Northamptonshire, designed to support the retailer’s ambition to double the size of its Food business.

The 1.3 million sq ft site, located at Daventry International Rail Freight Terminal, is due to open in 2029. It will feature state-of-the-art automation technologies aimed at boosting efficiency, improving product availability and creating a more resilient supply chain. This includes automated pallet cranes for long-life ambient goods, a high-speed shuttle system for stock management, and hands-free picking solutions to streamline store replenishment.

The facility is expected to create 2,000 jobs during construction and around 1,000 permanent roles once operational. These will span logistics, transport, warehouse management, and specialist technical positions such as automation technicians.

Alex Freudmann, MD at M&S Food, said: “We’re transforming M&S into a destination for the weekly shop and modernising our supply chain is central to that ambition. This investment will boost capacity for future growth, lower our cost to serve over the long-term, and improve product availability – ensuring customers find the right products in the right place at the right time. Our new site will strengthen our network and help us get ahead of the volume curve as we build a bigger, better Food business. By using the latest, proven automation, we are future-proofing both our business and UK retail logistics, as well as creating 1000 jobs permanently on site and 2000 during the construction phase.”

The Northamptonshire site is being developed in partnership with Prologis and TGW Logistics. Paul Weston, Regional Head at Prologis UK, commented: “This development goes beyond real estate – it’s a long-term infrastructure platform tailored to M&S’ future supply chain. Together, we’re combining automation, sustainability and smart energy systems to deliver a site that supports growth, resilience and net zero ambitions.”

Craig Mitchell, Sales Project Manager at TGW Limited, added: “TGW is extremely proud to be partnering with M&S on this transformation journey. Our collaboration is built on mutual trust, shared ambition, and a commitment to delivering state-of-the-art automation to support M&S’s long-term growth. Together, we are creating a logistics warehouse fit for future retail demands, one that sets a new benchmark for innovation and efficiency in the UK grocery sector.”

The development will also be one of the most sustainable of its kind, with a BREEAM Outstanding rating targeted, placing it in the top 1% of sustainable buildings globally. Features will include responsibly sourced materials, rooftop solar arrays, rainwater harvesting, EV charging and energy-saving technologies.

At Millbank, we see this announcement as another sign of how investment in automation and sustainability is shaping the future of UK logistics and food supply chains. The creation of over 3,000 jobs – both in construction and long-term operation – highlights the breadth of opportunity across the sector. Roles will include logistics managers, warehouse operatives, HGV drivers, automation technicians, and maintenance engineers, alongside sustainability and facilities management specialists.

We are particularly interested in how automation is driving demand for new skills across supply chain operations, blending traditional logistics expertise with advanced technology and engineering knowledge. This is an exciting development for the UK retail logistics sector, and we look forward to supporting businesses and professionals as these opportunities grow.

Source: marksandspencer.com ‘Marks & Spencer Announces Landmark £340m Investment In Advanced Automated Food Distribution Centre’

https://corporate.marksandspencer.com/media/press-releases/marks-spencer-announces-landmark-ps340m-investment-advanced-automated-food

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