Homebase

Homebase was a British home-improvement and garden-centre retail chain that operated in the United Kingdom and Ireland. Its assortment covered do-it-yourself materials, tools, decorating products, furniture, flooring, kitchens, bathrooms, lighting, storage, outdoor living, plants and gardening equipment. The business combined large-format stores with an online shop and, during different periods, operated concessions and specialist in-store departments. The concept was developed by Sainsbury's and Belgian retailer GB-Inno-BM in the late 1970s. The first store opened on Purley Way in Croydon on 3 March 1981 under the name Sainsbury's Homebase. The format applied supermarket-style merchandising, centralized distribution and broad household-related ranges to the fragmented British DIY market. By the end of the 1980s the chain had opened its fiftieth store and had become one of the United Kingdom's largest home-improvement retailers. A major expansion followed Sainsbury's purchase of Texas Homecare from Ladbrokes in January 1995. The Texas stores were progressively converted to the Homebase format, completing the transformation by 1999. That year the business adopted the simpler Homebase name and Sainsbury's also expanded its Irish presence by acquiring the Hampden Group, which operated Homebase franchises. In December 2000 Sainsbury's sold the operating chain to Schroder Ventures and separately sold development sites to Kingfisher, the owner of rival B&Q. Homebase changed hands again in 2002, when Argos Retail Group acquired it from Schroder Ventures. Argos Retail Group later became part of Home Retail Group. Under this ownership Homebase expanded through selected acquisitions, refreshed its advertising and introduced design-focused store concepts. It also moved from its own Spend & Save loyalty card to the Nectar scheme in 2009, before leaving Nectar after the next ownership change. In 2016 Australian retailer Wesfarmers acquired Homebase for £340 million. Wesfarmers attempted to convert the chain to its Bunnings Warehouse operating model, beginning with trial stores in the United Kingdom. The strategy performed poorly, with substantial losses and resistance to the proposed low-cost warehouse format. Wesfarmers sold the business in June 2018 to turnaround specialist Hilco for a nominal £1. The converted stores were returned to the Homebase brand, and Hilco used a company voluntary arrangement to close stores, renegotiate rents and reduce the cost base. Hilco's restructuring included a hybrid store format known as Best of Both, which combined elements of the former Homebase presentation with Bunnings-style fixtures and placed greater emphasis on decorating and home furnishings. By early 2020 the company said that almost all of its 164 locations were profitable and that its redesigned website and reinstated concessions had helped the recovery. Hilco nevertheless placed the business on the market in 2020 and again in 2024. The retailer entered administration in November 2024 after its holding company, HHGL Limited, collapsed into administration. CDS Superstores, owner of The Range, acquired the Homebase brand, website and 49 stores, primarily to convert them to The Range. Other locations were acquired or converted by B&Q and Wickes, while additional stores closed. The final four original Homebase stores ceased trading on 22 March 2025. Consequently, Homebase no longer operated as an independent store chain, although its brand assets and website were acquired by CDS Superstores.

Homebase originated in a partnership between Sainsbury's and Belgian retailer GB-Inno-BM. The partners conceived a supermarket-inspired DIY format in 1979, and the first Sainsbury's Homebase opened in Croydon in March 1981. Central warehousing and broad household ranges helped the chain scale quickly. It reached fifty stores by the end of the 1980s and became a significant competitor to B&Q and other specialist DIY operators. Sainsbury's greatly expanded Homebase in January 1995 by buying Texas Homecare from Ladbrokes. The acquired stores were progressively refurbished and rebranded, with the conversion completed by 1999. Homebase also expanded in Ireland through the purchase of the Hampden Group franchise operation. In 1999 the chain dropped the Sainsbury's prefix and used Homebase as its principal name. Advertising from 1999 to 2005 featured actors Neil Morrissey and Leslie Ash, while later campaigns used the slogan “Make a house a home.” Sainsbury's sold Homebase in a transaction announced in December 2000. Schroder Ventures acquired the 283-store operating chain, while Kingfisher acquired development sites. In November 2002 Argos Retail Group bought Homebase, and the business subsequently became part of Home Retail Group. During this period Homebase bought 27 former Focus DIY leasehold properties, introduced design-centre concepts and changed its loyalty programme from Spend & Save to Nectar. It also announced plans to reduce its store estate and add Argos and Habitat concessions. Wesfarmers acquired Homebase in February 2016. Its strategy was to transplant the Bunnings Warehouse model from Australia and New Zealand into the British market. Several stores were converted or trialled under the Bunnings identity, but the rollout did not produce the expected results. Wesfarmers reported heavy losses, reviewed the business and sold it in June 2018 to Hilco for £1. Hilco restored the Homebase name to the converted stores and used a CVA to close 42 locations and renegotiate rents. Its later “Best of Both” format combined Homebase and Bunnings-inspired merchandising, while emphasizing decorating and household products. Homebase reported a return to profitability in early 2020, with 164 locations and a renewed online and concession strategy. Hilco attempted to sell the retailer in 2020 and again in 2024. The company ultimately entered administration in November 2024. CDS Superstores bought the brand, website and 49 stores for conversion to The Range. B&Q and Wickes acquired additional sites, and the remaining stores were closed or repurposed. The last four original Homebase stores traded until 22 March 2025, ending the chain's independent retail operation.

1. 2025Final original stores close

   The last four original Homebase stores closed on 22 March.

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2. 2024Administration and asset sale

   HHGL entered administration and CDS Superstores acquired the Homebase brand, website and 49 stores.

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3. 2020Reported return to profitability

   Homebase said it had returned to profit earlier than expected and had 164 outlets.

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4. 2018Hilco takes control

   Hilco acquired Homebase for a nominal £1 and implemented a company voluntary arrangement.

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5. 2016Wesfarmers acquisition

   Wesfarmers completed its acquisition and began testing Bunnings Warehouse conversions.

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6. 2009Nectar loyalty partnership introduced

   Homebase replaced its Spend & Save card with the Nectar loyalty programme.

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7. 2002Acquired by Argos Retail Group

   Argos Retail Group purchased Homebase, bringing it into the wider GUS retail structure.

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8. 2000Sold by Sainsbury's

   Sainsbury's agreed to sell the operating chain to Schroder Ventures and development sites to Kingfisher.

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9. 1999Sainsbury's prefix removed

   The retailer adopted Homebase as its principal trading name.

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10. 1995Texas Homecare acquired

    Sainsbury's bought Texas Homecare, enabling a major expansion of the Homebase estate.

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11. 1981First store opens in Croydon

    The first Sainsbury's Homebase store opened on Purley Way, Croydon, on 3 March.

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12. 1979Homebase concept developed

    Sainsbury's and GB-Inno-BM developed a supermarket-style concept for the British DIY market.

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Mass-market to mid-market home, garden and DIY retail, combining practical home-improvement products with decorating, furniture and lifestyle ranges.

• DIY and building suppliesHome improvement1981

  Homebase's core range included hand and power tools, fixings, timber, building materials, plumbing supplies and associated equipment for household maintenance and renovation projects.

• DecoratingDecorating

  The decorating assortment included paint, wallpaper, preparation products, brushes, rollers and room-accessory items. Decorating became increasingly important in the retailer's post-2018 store strategy.

• Furniture and home furnishingsHome furnishings

  Homebase sold furniture, lighting, storage, flooring and decorative accessories intended to support room makeovers and everyday household use.

• Garden and outdoor livingGarden retail1981

  Garden centres and outdoor ranges covered plants, seeds, garden tools, landscaping products, outdoor furniture and seasonal leisure goods.

• Homebase Design CentresIn-store service2014

  Introduced in 2014, the Design Centres provided decorating ideas and advice, including touchscreen tools intended to help customers visualize room transformations.

• 2005Make a house a home

  United Kingdom

  Homebase launched advertising built around the “Make a house a home” positioning, supported at different times by recognizable popular music.

  Outcome. The platform was used across several advertising executions through the early 2010s.

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• 1999Neil Morrissey and Leslie Ash advertising

  United Kingdom

  Homebase used Neil Morrissey and Leslie Ash as recurring advertising personalities for approximately six years, presenting the brand through a domestic couple format.

  Outcome. The campaign ran until March 2005.

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• 2024Sell brand and selected stores to CDS SuperstoresM&A

  Homebase entered administration after Hilco was unable to complete a broader sale of the retailer.

  What changed. CDS Superstores acquired the Homebase website, brand and 49 stores for conversion to The Range.

  Aftermath. B&Q and Wickes acquired further locations, while the original Homebase chain was dismantled.

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• 2018Implement restructuring CVAStrategy

  Hilco inherited a loss-making estate with high occupancy costs after the failed Bunnings conversion programme.

  What changed. Creditors approved a company voluntary arrangement involving the closure of 42 stores and rent reductions at other locations.

  Aftermath. The restructuring reduced the estate and was followed by a redesigned store format and an early reported return to profitability.

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• 2016Sell Homebase to WesfarmersM&A

  Home Retail Group agreed to sell the chain to the Australian owner of Bunnings Warehouse.

  What changed. Wesfarmers acquired Homebase and began testing conversions to the Bunnings format.

  Aftermath. The conversion strategy was abandoned after significant losses, and the business was sold to Hilco in 2018.

  Acquisition price. £340 million (Announced January 2016)

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• 2014Launch Homebase Design CentresStrategy

  The retailer sought to make stores more inspirational and advice-led.

  What changed. It introduced decorating ideas and advice centres with touchscreen technology.

  Aftermath. The initiative supported a stronger emphasis on room transformation and decorating.

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• 2009Replace Spend & Save with NectarStrategy

  Homebase operated its own loyalty card but sought participation in a larger cross-retailer programme.

  What changed. The Spend & Save card was discontinued and Nectar became the principal loyalty scheme.

  Aftermath. Homebase later left Nectar after Wesfarmers acquired the business.

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• 1995Acquire Texas HomecareM&A

  Sainsbury's sought to expand Homebase's scale and market presence in DIY retail.

  What changed. It purchased Texas Homecare from Ladbrokes and progressively converted the acquired stores to Homebase.

  Aftermath. The acquisition substantially increased the chain's store base and market position.

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• 2013Workfare poster criticismControversy

  Homebase faced criticism after a Haringey store poster described the potential benefit of work-experience placements in terms of unpaid payroll hours. The company said participants received training, worked alongside paid employees and were not required to participate.

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• 2024Homebase enters administration

  HHGL Limited entered administration, placing the retailer's stores and thousands of jobs at risk.

  BankruptcyOther
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• 2024The Range acquires Homebase brand and stores

  CDS Superstores acquired the Homebase brand, website and 49 stores, with the locations intended for conversion to The Range.

  M&A
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• 2024B&Q and Wickes acquire former Homebase locations

  Competitors acquired selected leases and stores after the administration, while other locations closed.

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• 2020Homebase returns to profit ahead of expectations

  The company reported an earlier-than-expected return to profitability, attributing improvement to its website overhaul and the return of selected concessions.

  Other
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• 2018Wesfarmers reviews Homebase after major losses

  Wesfarmers reported losses associated with the acquisition and began seeking a buyer for the struggling British operation.

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• 2018Hilco buys Homebase for a nominal £1

  Turnaround specialist Hilco acquired Homebase and returned stores that had been converted to Bunnings to the Homebase identity.

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• 2018Homebase creditors approve restructuring arrangement

  A company voluntary arrangement approved store closures and rent reductions as part of Hilco's restructuring.

  Other
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• 2016Homebase acquired by Wesfarmers

  Australian retailer Wesfarmers agreed to acquire Homebase for £340 million and pursued a conversion of selected stores to the Bunnings Warehouse format.

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1. Homebase