Business

Semichem looks to close 22 stores including two in Northern Ireland

HEALTH and household goods retailer Semichem is consulting on the closure of up to 22 stores, including two of its Northern Ireland outlets at Park Centre in Belfast and Lisnagelvin in Derry.

The closures have been prompted by ongoing challenges to high street trading, which have been exacerbated by the Covid-19 pandemic.

The business, owned by community retailer Scotmid Co-operative, says it is in talks with landlords in several locations and will make a final decision on a small number of the 22 stores in the coming months.

A total of 140 Semichem staff have now entered a formal consultation process, and management at Scotmid say they are exploring opportunities to redeploy as many as possible within its wider business.

Karen Scott, Head of Semichem, said: “The high street was already struggling to adapt to the pace of change in shopping habits, including out-of-town developments and the rise of internet shopping.

“That change has undoubtedly been accelerated by the Covid-19 pandemic. Sadly, we have reached the point where it is no longer viable to keep some of our stores open.

“We are grateful for both Scotmid and subsequent government support, which has undoubtedly prolonged the life of many stores.

“Our priority now is to support affected colleagues at this difficult time. We are already looking for redeployment opportunities within the Scotmid group and will help all our staff both personally and professionally.”

Semichem was founded in 1980 and became part of Scotmid Co-operative in 1995.

It currently operates 86 stores in shopping centres and on high streets across Northern Ireland, Scotland and the North East of England.

Over the last three years, Semichem has invested £2.2 million in refitting stores and trialling a range of new retail concepts.

Ms Scott added: “The remaining stores in our Semichem portfolio are trading satisfactorily given the current circumstances.

“Like many other retailers, we are hopeful that, as restrictions ease, footfall will return to our high streets. Our investment programme will also resume in the summer.”