Business

Starbucks closes London Bridge store amid global restructuring and UK high street challenges

Thursday, 23 October 2025 4:04AM UTC

The sudden closure of a Starbucks at London Bridge highlights the company's ongoing global restructuring efforts and the rising pressures faced by retailers on Britain’s high streets, with multiple store closures and shifts in consumer behaviour.

A Starbucks branch at London Bridge has abruptly closed, surprising regular customers and commuters. The closure was announced via a simple notice on the door stating, “This store is now closed,” with no explanation provided. This sudden shutdown is believed to be part of a wider global restructuring effort by Starbucks, which manages over 1,400 outlets across the UK. Although it has not been explicitly confirmed that the London Bridge store falls under the planned closures, it follows a similar recent shutdown in Ilford, East London, where a spokesperson described the move as part of routine portfolio reviews to ensure locations remain relevant to customers.

Starbucks has explained that these closures target stores where it's challenging to create the desired physical environment or achieve sustainable profitability. Despite these closures, the company is committed to growth in the UK, announcing plans to open 80 new stores within the current financial year. This strategy reflects a sharp focus on optimizing their footprint by maintaining and refurbishing key locations while closing less viable ones. Starbucks employs approximately 5,600 people in the UK, and although redundancies could occur, the company emphasizes support for affected staff.

These UK-level changes mirror broader global trends within Starbucks’ operations. Recently, Starbucks announced a $1 billion restructuring plan that includes closing hundreds of stores mainly in North America, along with cutting around 900 corporate jobs. This plan aims to revamp operations by fostering a more traditional coffeehouse atmosphere, reducing customer wait times, and streamlining management roles, particularly within support teams. While the overall number of stores in North America is projected to decline by only about 1% in fiscal 2025 due to earlier expansions, the closures focus heavily on underperforming locations amid weakening demand for premium drinks.

In Europe, Middle East, and Africa, Starbucks has conducted similar reviews to ensure their stores are properly located and generating sufficient footfall. The emphasis remains on financially sustainable sites that enhance the customer experience. CEO Brian Niccol, who took the helm with a clear turnaround agenda after his success in reviving Chipotle, reiterated the importance of these measures to build a more efficient and customer-focused Starbucks. The restructuring also involves redesigning over 1,000 stores globally to create a warmer and more welcoming ambiance.

However, these operational changes come against a backdrop of increasing challenges in the retail sector, especially on Britain's high streets. Data from PwC indicates a continuing acceleration in shop closures in the UK, driven by rising costs such as higher National Living Wage, National Insurance contributions, and business rates introduced in the recent government budget. These cost pressures have made marginal retail locations less viable, leading to more closures, predominantly affecting multiples and chain stores. While high street closures continue, retail parks and out-of-town locations have seen fewer closures and new store openings, reflecting a shift in consumer shopping habits.

Starbucks’ restructuring and store closures have not been without controversy—workers’ unions have criticised the company for a lack of consultation, particularly in unionised stores, and concerns about job security remain prevalent. Despite these apprehensions, Starbucks asserts that affected employees will receive severance packages and opportunities for transfer where possible.

Overall, Starbucks is attempting to navigate a difficult market environment by concentrating on operational efficiency, financial sustainability, and investing in refreshed store experiences, balancing closures with new openings and refurbishments to meet evolving customer preferences.

📌 Reference Map:

Paragraph 1 – ^[1] Express, ^[7] GB News
Paragraph 2 – ^[1] Express, ^[7] GB News
Paragraph 3 – ^[3] Reuters, ^[4] AP News
Paragraph 4 – ^[1] Express, ^[4] AP News
Paragraph 5 – ^[1] Express, ^[4] AP News
Paragraph 6 – ^[2] Reuters
Paragraph 7 – ^[4] AP News, ^[7] GB News

Source: Noah Wire Services

More on this

https://www.express.co.uk/news/uk/2124795/popular-coffee-chain-1400-uk - Please view link - unable to able to access data
https://www.reuters.com/business/retail-consumer/rate-uk-shop-closures-accelerate-after-budget-tax-changes-says-report-2025-03-20/ - A report from PwC indicates that the rate of shop closures on Britain's high streets is expected to accelerate in 2025 due to increased business costs imposed by the government's latest budget. These costs include higher National Living Wage, employer National Insurance contributions, and business rates, which are making marginal retail and hospitality locations unviable. The Finance Minister Rachel Reeves' budget, aimed at raising funds for infrastructure and public services, has faced criticism from the business community. In 2024, a net of 12,804 shops belonging to multiples and chains closed in the UK, with overall net closures averaging 10 per day. The British Retail Consortium warns that these added costs could lead to higher prices, job losses, and reduced investment. While high street closures continue, out-of-town locations have experienced fewer closures and a rise in new store openings, driven by shifts from high streets to more convenient retail parks. The Labor government defends the budget measures as necessary steps to address a 22 billion pound deficit inherited from the previous Conservative administration.
https://www.reuters.com/business/starbucks-close-some-stores-part-restructuring-plan-2025-09-25/ - Starbucks announced on September 25, 2025, that it will close underperforming coffee shops—mainly in North America—and cut approximately 900 jobs as part of a $1 billion restructuring plan under CEO Brian Niccol. This move is part of a broader effort to revamp U.S. operations by restoring a more traditional coffeehouse atmosphere, reducing customer wait times, and streamlining management. The job cuts will primarily affect support teams, with many open positions also being eliminated. Despite the closures, overall store count in North America is expected to decline by only about 1% in fiscal 2025 due to new store openings earlier in the year. These changes come as the company seeks to lower costs amid weakening demand in the U.S. for its premium drinks. Starbucks also continues efforts to sell a stake in its China business, which is facing competitive and demand challenges. Shares remained flat in premarket trading and are down 7.7% for the year.
https://apnews.com/article/3aa70c7d3828520855998a490ebe865b - Starbucks announced on September 25, 2025, that it will close hundreds of stores across the U.S., Canada, and Europe and lay off 900 nonretail employees as part of a $1 billion restructuring and turnaround plan. This initiative follows a review that identified underperforming stores or those unable to meet customer expectations. Most closures will occur in the U.S. and Canada, with some in the U.K., Austria, and Switzerland. TD Cowen analyst Andrew Charles estimated around 500 North American store closures in the fiscal fourth quarter. Despite the closures, Starbucks plans to grow its North American store count in the next fiscal year and redesign over 1,000 stores to create a warmer atmosphere. CEO Brian Niccol emphasized the importance of focusing on financially sustainable locations and improving customer experience. The affected baristas may receive severance and be offered transfers. Meanwhile, Starbucks Workers United criticized the lack of worker involvement in the decisions, especially for unionized stores. This move comes after earlier layoffs of 1,100 corporate employees in February and six straight quarters of declining same-store sales. Niccol, known for reviving Chipotle, aims to turn around Starbucks by optimizing operations, technology, and store ambiance.
https://apnews.com/article/ac4110200335139836c6b370d864313c - Starbucks is laying off 1,100 corporate employees worldwide as part of its new CEO Brian Niccol's efforts to streamline operations. This move aims to enhance efficiency, increase accountability, and reduce complexity within the organization. Additionally, several hundred unfilled positions will be eliminated. Baristas and roasting/warehouse staff are not affected by these layoffs. Niccol, who joined Starbucks to revive declining sales, plans to focus on improving service times and restoring the community feel of Starbucks stores. The layoffs are part of broader cost-cutting measures by large companies such as Southwest Airlines and Bridgestone Americas, which have also announced job cuts recently. Starbucks shares saw a slight increase following the news.
https://apnews.com/article/c7da490d7cc739d95b546a9bfa3edc8d - Starbucks has announced it will restructure its corporate staff, resulting in an unspecified number of layoffs. CEO Brian Niccol, who joined the company in September, emphasized the need to streamline operations and reduce complexity. The layoffs will not affect baristas but will impact corporate support roles, which include roasters, warehousing, distribution, and store development. Starbucks employs around 16,000 people in these corporate roles and a total of 361,000 employees worldwide. The decision comes after disappointing sales, with U.S. customers reducing spending and Chinese customers opting for cheaper alternatives. Further details on the layoffs will be communicated by early March.
https://www.gbnews.com/money/starbucks-uk-store-closures - Starbucks is set to close an unspecified number of its company-owned stores across the UK. The decision follows a global review of its coffee shop portfolio. A consultation process has been launched regarding the proposed closures, which would put jobs at risk. Similar portfolio reductions are planned in North America, including a 1 per cent cut in stores and 900 head office job losses. Starbucks plans to open 150 stores across the Europe, Middle East and Africa region this financial year.

Noah Fact Check Pro

The draft above was created using the information available at the time the story first emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed below. The results are intended to help you assess the credibility of the piece and highlight any areas that may warrant further investigation.

Freshness check

Score: 8

Notes: The narrative mentions a recent closure of a Starbucks branch at London Bridge, with no prior reports found. However, similar closures have been reported in other UK locations, such as Ilford, East London. The earliest known publication date for similar closures is September 25, 2025. ([gbnews.com](https://www.gbnews.com/money/starbucks-uk-store-closures?utm_source=openai)) The narrative includes updated data but recycles older material, which may justify a higher freshness score but should still be flagged. Additionally, the narrative includes a reference map with links to other sources, indicating potential recycling of content. ([gbnews.com](https://www.gbnews.com/money/starbucks-uk-store-closures?utm_source=openai))

Quotes check

Score: 7

Notes: The narrative includes direct quotes attributed to Starbucks spokespersons and CEO Brian Niccol. However, no online matches were found for these specific quotes, raising questions about their authenticity. This suggests the quotes may be original or exclusive content, but their verifiability is uncertain.

Source reliability

Score: 6

Notes: The narrative originates from the Express, a UK-based tabloid newspaper. While it is a known publication, its reputation for accuracy and reliability is often questioned. This raises concerns about the trustworthiness of the information presented.

Plausability check

Score: 7

Notes: The narrative discusses Starbucks' global restructuring efforts, including store closures and layoffs, which align with recent reports from reputable sources. However, the specific details about the London Bridge store closure and the direct quotes attributed to Starbucks representatives lack verifiable sources, making them difficult to confirm. The lack of supporting detail from other reputable outlets and the unverifiable quotes raise concerns about the narrative's credibility.

Overall assessment

Verdict (FAIL, OPEN, PASS): FAIL

Confidence (LOW, MEDIUM, HIGH): MEDIUM

Summary: The narrative presents information about a recent Starbucks store closure at London Bridge, but the lack of verifiable sources, reliance on a tabloid publication, and unverifiable quotes raise significant concerns about its credibility. The absence of supporting details from other reputable outlets and the unverifiable nature of the quotes suggest that the narrative may not be entirely trustworthy.

Starbucks
UK high streets
store closures