Tesco PLC will close its nonfood website Tesco Direct on July 9, a move that puts 500 jobs at risk.
The retailer decided to close the loss-making website, which sells items including toys, consumer electronics, furniture, and household goods, after concluding that it cannot become profitable.
As part of the closure, a fulfillment center at Fenny Lock that handles Tesco Direct orders will also close.
The group will now focus on a single online platform — Tesco.com.
"We want to offer our customers the ability to buy groceries and non-food products in one place and that's why we are focusing our investment into one online platform," said Charles Wilson, CEO of Tesco U.K. and Republic of Ireland.
The company said customers shopping on Tesco.com can already buy products such as toys, home and cookware.
"This decision has been a very difficult one to make, but it is an essential step toward establishing a more sustainable non-food offer and growing our business for the future," Wilson said.
