Oxfam 'can’t guarantee future’ of charity shops as it also reviews warehouse business

Oxfam is currently evaluating its three warehouse operations located in Batley, Bicester, and Milton Keynes. The charity has stated that it "cannot give guarantees" regarding the future of its high street shops, citing a "difficult economic climate."

While Oxfam has confirmed it has no immediate plans to close any warehouses or shops, there are internal concerns that the Batley facility, which serves as Oxfam's primary textile recycling center, might be shut down as part of cost-saving initiatives. This concern is amplified by the fact that the lease for the West Yorkshire site is nearing its renewal date.

Collectively, these three warehouses employ approximately 90 individuals.

An internal source indicated that Oxfam is considering the closure of up to 100 of its over 500 UK outlets, as sales at some locations are no longer financially viable. The source explained that "donations have dropped off," and the charity's shops are also experiencing increased competition from online secondhand marketplaces like Vinted.

The source further commented that "Oxfam is always more expensive, and that’s starting to have an effect."

Oxfam Activities, the charity's division responsible for generating funds through the sale of new items, its textile recycling plant in Batley, and providing stewards for festivals, incurred losses exceeding £2 million in the fiscal year ending March 2025, and also in the preceding year.

Sales for this division fell by 7% in the year ending March 2025, primarily due to a decline in income from recycling activities. It's important to note that this figure does not include direct revenue from the charity's shops.

Lorna Fallon, Oxfam GB's chief supporter officer, stated, "In [the last financial year], Oxfam GB’s shops, warehouses and online retail teams generated a £6.3m (net) contribution to our humanitarian work, as well as raising dedicated funds through emergency appeals to support crises in Venezuela, the Middle East and Ukraine."

She added, "As is standard practice, we keep all parts of our retail operations under review via regular meetings. While we cannot give guarantees in this difficult economic climate, we are confident in and positive about our current retail performance and do not have plans to close our shops or warehouses at this time."

Fallon also highlighted recent initiatives, including the launch of a new online rental service, the repatriation of online order fulfillment, and the opening of a second superstore in Manchester.

"Next month our shops, warehouses and digital hubs will be leading Second Hand September, our annual campaign to tackle fashion’s environmental damage while raising funds for our global work on poverty and climate change," she announced.

This review of Oxfam's operations follows similar cutbacks and store closures announced by other charities, such as the British Heart Foundation (BHF) and Cancer Research.

The BHF recently closed 150 shops and reduced its workforce, attributing the decision to rising costs and the shift towards online shopping, which made approximately a quarter of its high street locations commercially unviable. Cancer Research had previously announced in October the closure of 90 shops across the UK.

Charities that sell secondhand clothing are also contending with heightened competition for both customers and donations from online platforms like eBay and Vinted. Furthermore, the market value of "rag" – damaged or unwanted textiles intended for recycling, which was once a significant income stream – has declined in recent years.

English Translation and Paraphrasing:

Oxfam is currently reassessing its three warehouse operations in Batley, Bicester, and Milton Keynes. Amidst a challenging economic environment, the charity has expressed that it "cannot offer assurances" about the future viability of its high street shops.

While Oxfam has denied any immediate plans for shop or warehouse closures, internal sources suggest that the Batley site, which houses the charity's main textile recycling center, could potentially be shut down as part of cost-reduction measures. This possibility is heightened by the upcoming lease renewal for the West Yorkshire location.

These three warehouses collectively employ around 90 people.

A source revealed that Oxfam is contemplating the closure of up to 100 of its more than 500 retail outlets in the UK due to declining sales at some of these locations. The insider noted a decrease in donations and pointed to the increasing competition from online platforms selling used goods, such as Vinted.

The source also commented on the price difference, stating, "Oxfam is consistently more expensive, and this is beginning to have an impact."

Oxfam Activities, the charitable arm focused on fundraising through retail sales of new items, its textile recycling facility in Batley, and event stewarding services, reported a financial loss of over £2 million for the fiscal year ending March 2025, a trend that also occurred in the previous year.

Revenue from this division decreased by 7% in the year leading up to March 2025, largely attributed to a downturn in income from recycling operations. This figure excludes the direct earnings generated by the charity's retail stores.

Lorna Fallon, Oxfam GB's chief supporter officer, stated that during the last financial year, Oxfam GB's retail operations (shops, warehouses, and online) contributed a net £6.3 million to their humanitarian efforts and also raised funds for emergency appeals supporting crises in Venezuela, the Middle East, and Ukraine.

She further elaborated, "It is our standard practice to regularly review all aspects of our retail operations. While we cannot provide guarantees in the current difficult economic climate, we remain optimistic and confident about our retail performance and currently have no plans to close our shops or warehouses."

Fallon also mentioned recent developments, including the introduction of a new online rental service, the bringing of online order fulfillment back in-house, and the opening of a second large store in Manchester.

"Next month, our shops, warehouses, and digital hubs will spearhead Second Hand September, our annual campaign aimed at mitigating the environmental impact of fashion while simultaneously raising funds for our global initiatives addressing poverty and climate change," she added.

The review of Oxfam's operations comes in the wake of job cuts and shop closures announced by other prominent charities, including the British Heart Foundation (BHF) and Cancer Research.

The BHF recently shut down 150 of its shops and reduced its staff numbers, citing escalating costs and the growing preference for online shopping as factors that made roughly a quarter of its high street locations commercially unsustainable. In October, Cancer Research announced its intention to close 90 shops across the UK.

Charities that deal in pre-owned clothing are also facing increased competition for both customers and donated items from online platforms like eBay and Vinted. Additionally, the market value of "rag" – damaged or unwanted textiles destined for recycling, which historically was a significant revenue source – has diminished in recent years.

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English Translation:

Oxfam is reviewing the operations of its three warehouses in Batley, Bicester, and Milton Keynes and says it “cannot give guarantees” on the future of its high street shops in a “difficult economic climate”.

The charity said it had no plans to close warehouses or shops but insiders fear that Batley, which houses Oxfam’s main textile recycling centre, will shut as part of a cost-cutting drive because the West Yorkshire site’s lease is up for renewal.

All three warehouses together employ about 90 people.

A source said Oxfam was considering closing up to 100 of its 500-plus UK outlets as sales at some were no longer viable. “Donations have dropped off,” the insider said, adding that the charity’s shops were also facing competition from online sellers of secondhand goods such as Vinted.

“Oxfam is always more expensive, and that’s starting to have an effect,” the source said.

Oxfam Activities is the charity’s arm that aims to raise money through its trade in new items for sale in shops, its textile recycling plant in Batley and the provision of stewards for festivals. However, it made losses of more than £2m in the year to March 2025 and in the prior year.

Sales fell by 7% in the year to March 2025, driven by a slump in income from recycling. This division of the business does not include direct income from the stores.

Lorna Fallon, chief supporter officer of Oxfam GB, said: “In [the last financial year], Oxfam GB’s shops, warehouses and online retail teams generated a £6.3m (net) contribution to our humanitarian work, as well as raising dedicated funds through emergency appeals to support crises in Venezuela, the Middle East and Ukraine.

“As is standard practice, we keep all parts of our retail operations under review via regular meetings. While we cannot give guarantees in this difficult economic climate, we are confident in and positive about our current retail performance and do not have plans to close our shops or warehouses at this time.”

Fallon said Oxfam had launched a new online rental service recently and had brought fulfilment of online orders back in-house, as well as opening a second superstore, in Manchester.

“Next month our shops, warehouses and digital hubs will be leading Second Hand September, our annual campaign to tackle fashion’s environmental damage while raising funds for our global work on poverty and climate change,” she said.

The review of Oxfam’s operations comes after job cuts and store closures at charities including the British Heart Foundation (BHF) and Cancer Research.

The BHF closed 150 shops and cut jobs earlier this summer. It blamed rising costs and the shift to online shopping had made about a quarter of its high street locations commercially unsustainable. Cancer Research announced in October it would be closing 90 shops across the UK.

Charities selling secondhand clothing have also faced increased competition for customers and donations from online sellers such as eBay and Vinted, while the price of “rag” – damaged or unwanted clothing and home textiles for recycling, which was once a key source of income – has fallen in recent years.