‘Peak Greggs’? Bakery chain’s profits slump and sales slow
Greggs has reported a slump in profits as it bemoaned “challenging” market conditions hitting consumer confidence and disposable income, amid pressure to prove the UK has not hit “peak Greggs”.The high street bakery chain, known for its sausage rolls and steak bakes, said statutory pre-tax profits fell by 17.9% to £167.4m for the year to 27 December, compared with a year earlier.Total sales rose by 6.
8% to £2.15bn over the year.It also reported a slowdown in sales growth over the start of the new year.Sales at established stores rose 1.6% over the first nine weeks of 2026 and total sales were up 6.
3% on the back of store openings,Over the past year, Greggs has come under pressure from cautious shoppers affected by the rising cost of living and higher tax and labour costs, and the growing use of weight-loss treatments,Its chief executive, Roisin Currie, said last year: “I absolutely don’t believe we have reached peak Greggs,” adding that the company had previously bounced back from downturns,On Tuesday, she said easing inflation had dampened sales growth,She said she still thought the UK was “moving into a lower inflationary environment that should give respite to the consumer”, despite signs of grocery inflation creeping back up and the threat of conflict in the Middle East further pushing up energy prices.
Greggs had agreed a price for its energy up front so it would be protected from any price rises caused by the conflict until 2027, she said.She predicted that the business would face inflation of about 3%, about half the level in the previous year, with a drop in its business rates bill after adjustments by the government in the autumn budget but rising wage costs as the legal minimum wage increases.The business, which employs more than 33,000 people, said it had been resilient in the face of a difficult market.“We find it challenging and the consumer finds it challenging,” Currie said, as households’ disposable income remained under pressure from high energy and food costs.Despite falling profits, Greggs paid out a £20m profit-share bonus to staff who had worked for the business for more than six months – an average of £800 for someone on a typical 30-hour contract.
Currie said that figure was similar to last year.“The year-on-year profit position reflected challenging market conditions, compounded by the spell of particularly hot weather that had a material impact on footfall and consumer behaviour,” it said.Greggs said it had 121 net store openings in 2025, expanding its shop estate to 2,739 locations by the end of the year.It is targeting about 120 further openings this year as it highlighted ambitions to grow to “significantly more than 3,000 UK shops over [the] longer term”.Sales growth was also supported by more deliveries and shops staying open into the evening.
Analysts were split on the long-term prospects for Greggs.A Shore Capital analyst, Darren Shirley, said there was “little to shout about as trading slows”.Aarin Chiekrie, an equity analyst at Hargreaves Lansdown, said: “Despite the challenges, Greggs is working hard to build the foundations for future growth.“Menus are being adapted to changing customer preferences, and shops are staying open later to cash in on more evening customers – the group’s fastest growing day-part.”
Labour council accuses minister of ‘moral bankruptcy’ over social care dispute
The housing, communities and local government secretary has been accused by a Labour council of showing “arrogance, indifference and moral bankruptcy” towards children in social care.In an unusually forthright attack, Labour leaders of Hartlepool council said they were “furious and appalled” at Steve Reed after a meeting with him last week. A cross-party delegation had asked the secretary of state for £3m to help alleviate the growing cost of social care.The town in County Durham is one of the most deprived in England. It has the third highest number of children in care per capita in the country
Most senior council officers in England say building work hit by delays
Almost two-thirds of senior council officers have said they are seeing construction projects delayed, despite the key role of local authorities in creating the wave of new housing and infrastructure promised by Labour.Before Rachel Reeves’s spring forecast on Tuesday, a survey of senior council officers showed that 40% do not think the local authority they work for is well placed to follow through on its construction plans.Local authority finances have been under sustained pressure for more than a decade. Labour recently announced a shake-up of the funding formula for England’s local councils, to redirect resources from affluent parts of the country towards more deprived areas.Among those surveyed, 64% reported project delays, with as many as 94% calling for more certainty about future financing – such as multi-year funding settlements
Three in four women unaware menopause can trigger new mental illness, poll finds
Nearly three-quarters of UK women do not know menopause can trigger a new mental illness, polling shows.This lack of understanding is so acute that the Royal College of Psychiatrists has launched its first targeted “position statement” to raise awareness about menopause and mental health.A YouGov poll, commissioned by the college, which represents more than 20,000 psychiatrists, found that only 28% of women know a new mental illness can be associated with menopause. In contrast, 93% of women associate menopause with hot flushes and 76% with reduced sex drive.As a result, many women are not seeking or receiving vital help, the RCPsych’s report says
The decline in healthy life expectancy in Britain should shock us all | Letters
The decline in healthy life expectancy (HLE) is so momentous it should have ejected the former prince from the front page (Female healthy life expectancy falls three years, print edition, 20 February). The shocking fall of three years for women and two years for men, in just three years, reveals the cumulative impact of the Tory/Liberal Democrat austerity programme and the gross mismanagement of the pandemic.In contrast to the lowest HLE since these figures were first estimated (2011-13), Swedish HLE has continued to rise and is an average of five years higher than the UK’s. It is blindingly obvious that unless the government urgently prioritises extending HLE, it cannot hope to stem the flow of older workers out of the labour market.Alan WalkerEmeritus professor of social policy and social gerontology, University of Sheffield Falling healthy life expectancy and a rising pension age – so work until 67 possibly 68, then spend your last years recovering
UK health official recused from puberty blockers trial after bias claims
A health official who reportedly intervened to pause a clinical trial on the use of puberty blockers has been removed from any further involvement due to accusations of bias.Prof Jacob George, who was appointed chief medical and scientific officer at the Medicines and Healthcare products Regulatory Agency (MHRA) in January, raised concerns that led to the Pathways trial being put on hold by the government, according to the Sunday Times.But the regulator announced on Saturday that George would be recused from involvement in the trial after gender-critical social media posts made last year emerged.In one post he described the author JK Rowling, known for her gender-critical views, as being a “treasure of our time”. In another he said “the denial of basic biological fact is concerning”, in relation to questions about whether the Olympic boxer Imane Khelif was a woman
‘Viruses don’t know borders’: US anti-vaccine rhetoric could impact global measles crisis
The US government has amplified anti-vaccine rhetoric and signaled that it does not consider measles to be a priority, which could have global ramifications as countries around the world have lost or are on the brink of losing measles elimination status.The World Health Organization announced in late January that six European countries: the United Kingdom, Spain, Austria, Armenia, Azerbaijan and Uzbekistan had all officially lost their measles elimination status, which means the virus has been circulating continuously in those countries for more than 12 months. In order to contain measles, at least 95% of children should be fully vaccinated against it, according to health recommendations, but vaccination rates have been falling across Europe.Measles vaccination in the UK has fallen especially dramatically, with only 84% of five-year-olds receiving both recommended doses of the measles, mumps and rubella (MMR) vaccine as of 2024. The UK is also “ground zero”, for vaccine hesitancy, according to Jennifer Nuzzo, director of the Pandemic Center at Brown University
Pulp have the last word in Adelaide festival saga with triumphant opening gig
Seth Meyers on Team Trump’s Iran threats: ‘These guys speak like they’ve been hit on the head’
How to keep free entry to UK museums and galleries | Letters
‘You’re sweet – and I’m old!’: Billy Porter and Sam Morrison on teaming up for a comedy about love and death
‘Seems I’m not dead’: Magda Szubanski says she is in remission after treatment for stage four cancer
Seth Meyers on Trump’s State of the Union address: ‘A vehicle to attack anyone who doesn’t bend the knee’