M&S Begins £340m Automated Distribution Centre Build

A steel-signing ceremony in Northamptonshire has marked the start of construction on Marks & Spencer's automated National Distribution Centre. The 1.3m sqft facility could represent the retailer's largest supply chain infrastructure project.

According to M&S, the £340m (US$460m) investment aims to modernise food distribution operations and increase capacity for more than 200 stores. The project is being developed on a site in Daventry in partnership with Prologis UK.

The NDC is designed to achieve a BREEAM Outstanding rating. Construction plans include the integration of recycled materials, rooftop solar installation, rainwater harvesting systems, EV charging infrastructure and a dedicated vehicle maintenance unit.

Michelle Elliman from M&S Rugby store joined Kevin Bennett, CEO of Gist, Stuart Andrew, MP for Daventry and Shadow Secretary of State for Health and Social Care and James Hemstock, Vice President of Capital Deployment at Prologis UK, for the ceremony.

Construction collaboration and design

"This construction milestone reflects the incredible strength of collaboration behind this project," says James Hemstock, Vice President of Capital Deployment at Prologis UK. "Working closely with M&S, Gist, Winvic and West Northamptonshire Council, this project from the outset has been shaped by a shared commitment to quality, sustainability and long-term value."

The development involves Winvic as the construction contractor. According to the project partners, the facility design incorporates sustainability features aimed at reducing operational carbon emissions and resource consumption.

The site could accommodate pallet cranes, high-speed shuttles and hands-free picking technology once construction is completed. These automation systems are intended to support stock management and restocking processes.

"I welcome the investment by Marks & Spencer into the new distribution centre in Daventry. It was great to visit the impressive site and meet the people involved and learn about the future plans for the centre," says Stuart Andrew, MP for Daventry and Shadow Secretary of State for Health and Social Care.

"This area has for a long time been at the heart of the UK's logistics network, and this investment shows confidence in the local people and businesses."

Automated logistics infrastructure built

The NDC construction project is scheduled to create 1,000 permanent jobs on site once operational. The facility is being built to service food distribution operations across the M&S store network.

"Starting the build on this site marks a major step in transforming M&S into a true destination for the weekly shop, with a modernised supply chain at the heart of that ambition," says Kevin Bennett, CEO Gist and Food Logistics Director at M&S.

"This investment will boost capacity for future growth, lower our long-term cost to serve and improve product availability so customers get the right products in the right place at the right time."

The building's design specifications include infrastructure for automated warehouse systems. According to M&S, the technology deployment could improve delivery efficiency and reduce costs across the supply chain network.

Kevin emphasised that the facility aims to support faster stock replenishment cycles. The automation systems are intended to reduce manual handling requirements and allow staff to focus on customer-facing operations.

Supply chain capacity expansion

The Northamptonshire site is being positioned to handle increased food distribution volumes. According to M&S, the facility could support plans to expand the company's food business operations.

"With construction underway, this new site strengthens our network and puts us ahead of the volume curve as we build a bigger, better food business," says Kevin.

"By deploying the latest proven automation, we're future-proofing our operations and UK retail logistics, while creating 1,000 permanent jobs on site."

The NDC build forms part of M&S's strategy to reduce long-term distribution costs and improve product availability. The facility could increase the retailer's capacity to handle fresh food deliveries across its store estate.

The construction project includes the installation of sustainable building systems. These features are designed to align with M&S's target to become a net zero business by 2040.

Food business sustainability integration

M&S has committed to addressing environmental challenges in food production through its supply chain operations. The company operates a "Farming with Nature" programme launched in 2021 that works with Select Farmers on regenerative agriculture practices.

According to M&S, more than two-thirds of its food sales come from fruit, vegetables, vegetarian and vegan products. The company has expanded plant-based offerings through its Plant Kitchen and Veggie ranges.

M&S has partnered with Agrisound, The Wildlife Trusts, LEAF and the Farming and Wildlife Advisory Group to trial monitoring technologies for pollinators, soil carbon and biodiversity. The partnerships provide sustainability training and advice for growers.

Initiatives include reducing ploughing, planting cover crops and dedicating land to wildlife habitats. According to the company, 9,500 hectares are being protected and enhanced through these programmes.