Ireland-based international fashion chain Primark is reportedly planning to launch an online delivery service after years of resistance, according to The Times.

The news comes shortly after the retailer lost out to Marks & Spencer in a competitive bid for fast fashion retailer Asos’s £67.5 million state-of-the-art online fulfilment centre in Lichfield.

Primark had identified the site as a step towards expanding its digital operations, as it “knows it needs to go online,” sources told The Times. The warehouse was designed “specifically for e-commerce fulfilment” and would be “impossible to use for stores”, according to a source close to the deal, who added that the facility was desirable because it has automation equipment the retailer could use to deliver directly to consumers.

Primark has long claimed that it is unable to offer home delivery due to its ultra-low price points and tight margins, which it argues cannot absorb the operational costs involved in packing and shipping orders.

Primark denies these allegations, telling The Times: “Primark explored the potential use of this site on the basis that it could support expansion of our click and collect service. Primark’s position on home delivery has not changed.”

Primark has pursued other expansions of its click and collect service in recent months. In April, it launched its mobile app in the UK, which allows users to access this service at over 189 stores across the country. The app is already operational in Ireland and Italy, and marks the continuation of the brand’s digital investment, which encompasses its website and social media presence.

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