M&S tests self-checkouts for clothes amid hiring warning

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A Marks & Spencer store
A Marks & Spencer store

Marks & Spencer is trialling hi-tech self-checkouts for clothing as chief executive Stuart Machin steps up his quest for growth.

The retailer, which already uses self-checkouts across its shops, has started experimenting with new tills that can identify what is in someone’s basket without the need to scan barcodes. The technology uses radio-frequency identification (RFID) chips embedded in price tags to detect items when placed in a basket built into the till.

These tills are already in use at rival retailers such as Uniqlo. Shops that use them have found they ease the workload for staff as they do not have to deal with items that have been mis-scanned by customers.

M&S is trialling the stations in its clothing department at its Woking store in Surrey. It is understood to have prepared the technology in at least one other shop, suggesting the tills could be rolled out more broadly if the trials are successful.

Speaking to investors, Rachel Higham, its chief digital and technology officer, said M&S was already seeing a “significant colleague and customer benefit” from the stations.

She said: “Customer take-up has been really strong and we’ve seen a 40pc reduction in average transaction time compared to standard self-checkout tills.”

Stuart Machin, chief executive of Marks & Spencer
Stuart Machin, chief executive of Marks & Spencer, is leading a drive to cut costs in a push for growth - Daniel Lewis

The trial comes as the retailer steps up efforts to modernise its stores amid a turnaround push. Under the revival plans, the retailer is also aiming to strip £500m of costs out of its business by early 2028.

In 2023, M&S said the rollout of 800 self-checkouts would help it save £150m over the year.

Plans for the trial are understood to have been under way before the Budget. However, the test has come to light in the wake of comments from Mr Machin suggesting that the Budget would make hiring harder.

Changes to National Insurance and an increase in minimum wage from April are expected to add £120m to its costs.

‘I do not see big job losses’

Mr Machin said this meant the company would be “ruthlessly focused on costs” over the next 12 months. He said the retailer would also be “really diligent” on recruitment, adding: “I do not see big job losses. We’re a growing business. We’ve got lots to do. Does it make us look at how we recruit? Of course it does, and that does mean we have to think about where we invest.”

A source close to the company insisted the self-checkout tests were unrelated to the Budget and hiring plans.

The company has been pushing ahead with more self-checkouts, even while rival retailers including Asda and Morrisons have started to pull back. Other retailers are pausing rollouts or uninstalling self-checkouts after a backlash from customers.