Marks and Spencer is pumping £340m into developing an automated national distribution centre (NDC) in Northamptonshire, as part of plans to double the size of its M&S Food business, in a move which will see thousands of jobs created.
The 1.3 million sq ft facility, which is set to open in 2029, marks the retailer’s largest ever investment in its supply chain.
The new NDC will feature advanced automation to boost operational efficiency and product availability for customers and will be based at Daventry International Rail Freight Terminal.
The news follows an announcement from M&S earlier in the year to open a new 390,000sq ft distribution centre at Avonmouth in Bristol, serving stores in the Midlands, South-west England and South Wales.
Prologis is the development partner for the new facility, whilst TGW Logistics has been appointed as the automation partner for the project.
The construction phase of the new NDC will create over 2,000 jobs, with around 1,000 permanent roles once the site is fully operational, covering driving, logistics, management and more technical roles such as automation technicians.
The NDC will incorporate the latest proven automation, including an automated pallet crane for handling long-life ambient products, a high-speed shuttle system for sorting and storing stock and a hands-free picking solution that loads items directly onto store-ready delivery cages.
It is also expected to achieve a BREEAM Outstanding rating - placing it in the top 1% of sustainable buildings globally and becoming M&S’ flagship Plan A warehouse.
The site will feature responsibly sourced and recycled building materials, EPC A+ rating with a large scale rooftop solar panel array, an advanced rainwater harvesting system, as well as EV vehicle charging and energy-saving technologies and a vehicle maintenance unit.
Alex Freudmann, MD at M&S Food, commented: “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 1,000 jobs permanently on site and 2000 during the construction phase.”
Paul Weston, Prologis UK regional head, added: “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, TGW sales project manager, said: “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.”
