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IKEA to expand, make more products in Britain

5 August 2017

IKEA store in Brent Cross, London. Photo Tony Baggett/shutterstock.com

Ikea is to make more products in Britain, as the Swedish furniture chain prepares for Brexit. Although the retailer already makes some sofas and mattresses in Britain, it is now actively examining how it might increase that work while looking at other products that could be sourced domestically.

The chain’s growing British sales give it the capacity and resources to source more locally. Manufacturing and sourcing more locally would help offset the rising prices of imported goods and guard against the danger of potential tariffs once Britain has exited the EU. Notices about the change of policy are on display in all the retailer’s stores.

Earlier this week Ikea said it would add 1,300 more jobs in Britain by the end of next year, opening stores in Sheffield, Exeter and Greenwich, south London. The chain is expanding again after a seven-year standstill, bringing the Swedish flatpack furniture company’s British workforce to 11,700 as it proceeds with expansion plans – another one for the list of Brexit benefits.

All Ikea products are designed in Sweden but the group does develop local goods for certain markets if there is demand. Goods sourced in Britain would be developed alongside manufacturers.