Fashion, home and beauty retailer Debenhams Group is moving its fulfilment operations back to Burnley, through a new global distribution partnership with GXO Logistics, which is expected to create over 1,200 jobs.

The move follows the group’s £90m sale of its Sheffield distribution centre to Primark. Debenhams Group said it expects to continue operating from Sheffield until early 2027, ahead of the transfer to Burnley.

GXO will run the Burnley facility under a new agreement which sees the contract logistics giant oversee Debenhams Group’s global third-party distribution.

Debenhams said the partnership will combine the Group’s “longstanding knowledge of the site with GXO’s expertise in managing fulfilment operations for leading retail businesses”.

Dan Finley, Debenhams Group chief executive, said the company was delighted to be returning to Burnley.

“Burnley has played an important role in the group’s history, as the primary distribution location for over a decade.

“We’re excited to be combining our years of experience operating in the town with GXO’s fulfilment expertise, to support the next phase of the Group’s growth,” he said..

Russell Atkinson, GXO UK&I MD of fashion and apparel, added that the partnership will bring GXO’s retail logistics expertise and global network to support Debenhams’ growth.

Oliver Ryan, MP for Burnley, Padiham and Brierfield, said: “This is great news for Burnley and another vote of confidence in our town.

“The move will deliver jobs, apprenticeships and huge economic benefits in the years ahead.

“Debenhams Group have gone through a strong turnaround, and I’m glad to have them back as a local partner.”

Councillor Afrasiab Anwar, leader of Burnley Council, said: “To see Debenhams Group now choosing to return, following the sale of the Sheffield distribution centre, is nothing short of a massive win for Burnley.

“It shows confidence in our borough, belief in our workforce, and recognition of the momentum we have built together.

“I want to place on record my huge thanks to our Council officers, whose tireless and highly professional work made this possible; to the Debenhams Group board for believing in Burnley once again; and to all politicians who put party politics aside and worked as one for the good of the borough.

“This is Burnley at its best, united, ambitious, and determined to secure opportunities for our residents.”

GXO has already started recruiting. Further information and how to apply can be found here.