Marks & Spencer has revealed plans for a £340 million state-of-the-art National Distribution Centre (NDC) — the largest supply chain investment in its history — as part of its long-term strategy to transform M&S Food into a leading player in the UK’s grocery sector.
The new 1.3 million square foot facility will be located at Daventry International Rail Freight Terminal (DIRFT) in Northamptonshire and is scheduled to be operational by 2029. According to the company, it will serve as a critical enabler in its ambition to double its food business, significantly boosting capacity while enhancing sustainability and automation.
“This is a landmark moment for M&S,” said Alex Freudmann, managing director of M&S Food. “We’re building the infrastructure today to support the food business we want tomorrow. It’s about scale, speed, and sustainability.”
Smart logistics meets sustainability
The new NDC is being designed as M&S’s flagship Plan A warehouse — an initiative tied to its broader environmental strategy. The site will incorporate cutting-edge automation technologies, including high-speed shuttle systems, automated pallet cranes and hands-free picking solutions, all aimed at improving efficiency and reducing operational costs.
Sustainability will also be front and centre: the building will feature recycled construction materials, rainwater harvesting, solar panels, EV charging points, and smart energy systems, with the goal of achieving BREEAM Outstanding status — a rating awarded to just 1% of buildings globally.
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The investment is expected to generate 1,000 permanent jobs in logistics, operations and technical roles, along with 2,000 construction jobs during the build phase.
Strengthening the M&S food network
The announcement follows a string of moves that show M&S’s renewed focus on food retail. Earlier this year, the company disclosed plans to open 12 new food stores on former Homebase sites, and aims to renew half of its estate by 2028.
Industry analysts note that M&S recently overtook The Co-op to become the UK’s seventh largest grocery retailer, driven by gains in food sales and store upgrades. The new NDC will support the retailer’s expanded store network and help it stay ahead of supply chain challenges.
“This isn’t just a logistics hub — it’s a long-term platform designed to support the next chapter of growth for M&S Food,” said Paul Weston, regional head at Prologis UK, the development partner for the site.