Iconic bakery chain famed for its cinnamon buns and sourdough loaves to open 40 new locations in UK
AN ICONIC bakery chain famed for its cinnamon buns and sourdough loaves is set to open 40 new locations in the UK.
The beloved upmarket bakery has soared in popularity over the last few years – and currently has over 150 stores.
The new Gail’s sites will launch in 2025, CEO Tom Molnar hopes, upping the company’s targeted sales to £300 million.
It follows the launch of two new sites in London St Pancras and one in London Bridge station – the first Gail’s cafes to be introduced in train stations.
Before that, the chain opened its 150th store in Watford in October.
Speaking to the Sunday Times, Tom credited the company’s rapid high street expansion to cheap real estate.
He said: “There are lots of empty sites on the high street.
“You get really attractive deals. That’s been really fundamental to us.”
However, Tom also admitted that he might have to put prices up on the already luxury coffees and baked goods.
This is due to a rise in employer national insurance contributions introduced in the latest Budget – and an increase in the minimum wage, he said.
Gail’s is renowned for its bread, which is baked at sites in Hendon, North London, Milton Keynes, St Albans, Manchester and Bath.
Its pastries are also a favourite among TikTok users, who frequently post eat-with-me videos featuring the snacks.
Several videos have gone viral recently showcasing the impressive array of Gail’s snacks that can be enjoyed when you order a Too Good To Go package.
However, the chain has not been without controversy – with hundreds signing a petition to block a new site in Walthamstow Village, amid fears that the neighbourhood was being “gentrified”.
The petition was created with a view to “protecting the unique identity of our community and safeguarding the soul of a beloved neighbourhood”.
Similarly, residents in Knutsford, Cheshire, where a Gail’s branch was due to open, told the Sun last year that the chain was “too expensive” and could drive out independent traders.
Nigel Cowl, 58, said: “I won’t go in there. I work at the Co-op and can pick up some cheaper bake-at-home things instead.
“To be honest, I prefer some jam or marmite on toast to a fancy croissant.”
He added: “I think the bakery will get a lot of customers because Knutsford has become so upmarket.
“But I don’t think it’s a good thing – it’s too expensive.”
What is happening to the hospitality industry?
By Laura McGuire, consumer reporter.
MANY Food and drink chains have been struggling recently as the cost of living has led to fewer people spending on eating out.
Businesses had been struggling to bounce back after the pandemic, only to be hit with soaring energy bills and inflation.
Multiple chains have been affected, resulting in big-name brands like Wetherspoons and Frankie & Benny’s closing branches.
Some chains have not survived. Byron Burger fell into administration last year, with owners saying it would result in the loss of over 200 jobs.
Pizza giant, Papa Johns is shutting down 43 of its stores soon.
Tasty, the owner of Wildwood, said it will shut sites as part of major restructuring plans.