LONDON, March 26, 2026, 12:31 GMT
Shirine Khoury-Haq is leaving her post as Co-op Chief Executive on March 29, ending a four-year stint at the helm. Board member Kate Allum steps in as interim chief while the search for a permanent replacement gets underway. The shakeup follows a challenging period for the British member-owned retailer, including a cyberattack, sluggish sales, and fresh scrutiny over leadership culture.
Timing is key here. Co-op reported a 2.3% drop in 2025 revenue to 11 billion pounds, swinging from last year’s 131 million pound profit to a 35 million pound underlying operating loss. The company attributed a 285 million pound revenue shortfall and a 107 million pound profit hit to the cyberattack, and says it’s targeting 200 million pounds in annual operating cost cuts for 2026.
The market backdrop has turned gloomier. Fresh numbers from the British Retail Consortium out Thursday put household sentiment about both the economy and personal finances at its lowest point since the group kicked off its survey in 2024. Over at the Confederation of British Industry, this week’s findings show retail sales tumbling at a rate not seen since April 2020.
Khoury-Haq described Co-op as set for a “stabilisation and transformation” strategy, but said the coming stage demanded leadership for longer than she’d intended to stay. Chair Debbie White credited her with guiding the business through “challenging few years”, while Allum called it a “privilege” to take the reins at this moment. Investegate
Her exit comes after last month’s reports that senior managers accused the upper ranks of fostering a “toxic” atmosphere and creating “fear and alienation,” according to letters sent to board members. On Thursday, Khoury-Haq told the Guardian she made the choice to resign for “very much a personal decision,” insisting the allegations weren’t a factor. Co-op, for its part, maintains those criticisms don’t represent the wider leadership’s perspective. The Guardian
Co-op isn’t alone under strain. Morrisons on Wednesday flagged concerns about the Iran war rattling both shopper sentiment and supply lines—evidence that higher energy bills and shaky demand are starting to weigh on UK supermarket chains.
The comeback isn’t guaranteed. Next warned Thursday it could hike prices by June if Middle East-related disruptions drag on. KPMG, for its part, noted that concerns about grocery and energy costs are already pushing some UK shoppers to pare back or hold off on big buys.
The board’s sticking with the current course for now. Allum steps in March 30, with Co-op planning to release audited full-year numbers before its May 16 annual meeting, part of efforts to stabilize a sprawling group that operates over 2,300 food shops, some 800 funeral homes, plus insurance and legal arms.
