Grim reality dawns for John Lewis

For decades, John Lewis seemed to exist in a parallel universe. Now, a grimmer reality has dawned

John Lewis staff © John Lewis
Team spirit may not be enough
(Image credit: © John Lewis)

Until this week John Lewis seemed able to rise effortlessly above the existential crisis that has gripped every other major retailer. From its origins as a humble drapery shop on Oxford Street in the 1860s, it remained a primarily London-based business for much of its history. But in the last 20 years, it pushed relentlessly into new markets, opening 50 department stores across the country. Its Waitrose unit expanded even more aggressively and now has 350 supermarkets. While just about every other retailer had to cut back and retrench in the face of rising staff costs, punishing business rates, tepid consumer spending and ferocious competition from the internet, John Lewis sailed on regardless. It was as if it was in a parallel universe, where running shops was a great business to be in.

Don’t get high on your own supply

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free
https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up
Explore More
Matthew Lynn

Matthew Lynn is a columnist for Bloomberg, and writes weekly commentary syndicated in papers such as the Daily Telegraph, Die Welt, the Sydney Morning Herald, the South China Morning Post and the Miami Herald. He is also an associate editor of Spectator Business, and a regular contributor to The Spectator. Before that, he worked for the business section of the Sunday Times for ten years. 

He has written books on finance and financial topics, including Bust: Greece, The Euro and The Sovereign Debt Crisis and The Long Depression: The Slump of 2008 to 2031. Matthew is also the author of the Death Force series of military thrillers and the founder of Lume Books, an independent publisher.