Marks & Spencer (M&S) has begun construction on a new £340 million automated national distribution centre in Northamptonshire, part of its wider plans to modernise its food supply chain and support long-term growth.

The retailer said the 1.3 million square foot facility, which is due to open in 2029, is the company’s largest ever supply chain investment and will support over 1,000 jobs.

The new site will service more than 200 M&S Food stores and forms part of the retailer’s ambition to double the size of its food business. M&S said the facility would help increase distribution capacity, reduce long-term operating costs and improve product availability across stores.

M&S said the warehouse will use advanced automation technologies including pallet cranes, high-speed shuttle systems and hands-free picking to improve efficiency, accuracy, and replenishment processes.

The company added the site is designed to achieve a BREEAM Outstanding sustainability rating and will include features such as rooftop solar panels, rainwater harvesting systems, electric vehicle charging infrastructure and the use of recycled construction materials.

“Starting the build on this site marks a major step in transforming M&S into a true destination for the weekly shop, with a modernised supply chain at the heart of that ambition,” said Kevin Bennett, food logistics director at M&S. “This investment will boost capacity for future growth, lower our long-term cost to serve, and improve product availability so customers get the right products in the right place at the right time.

“By deploying the latest proven automation, we’re future-proofing our operations and UK retail logistics, while creating 1,000 permanent jobs on site.”

Earlier this week, M&S announced plans to acquire a new fully automated fashion distribution centre in Lichfield, Staffordshire to double its long-term online sales.

Through a conditional deal, M&S said it will buy the 437,000 square foot logistics site from online fashion giant Asos for £67.5 million.

The warehouse will become operational within the M&S supply chain network in 2027, employing around 600 people.

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