The John Lewis Partnership has seen half-year losses more than double amid tougher trading and said it remained cautious over the final six months.

The employee-owned group, which owns the department store chain and Waitrose supermarkets, reported losses before tax and exceptional items of £89 million for the six months to August 1, up from £34 million a year earlier.

On a bottom line basis, pre-tax losses widened to £124 million from £88 million a year ago as it said costs also weighed on results, including moves to restructure its head office.

The John Lewis Partnership (JLP) said the head office reorganisation was focused on its central teams and had led to some job losses.

While it did not disclose numbers, it said the impact on jobs was less than 1% of its total workforce.

Sales in its department store chain fell 2% as it said consumers were holding back on discretionary spending, while sales across the Waitrose supermarket arm rose 4%.

Overall half-year sales rose 2% to £6.3 billion.

Jason Tarry, chairman of the JLP, said: “Our first-half results reflect our continued investment in our transformation, a more challenging trading environment and the increased costs of doing business.”

Mr Tarry told the Press Association consumers were cutting back on big purchases.

He said: “Consumers are holding back on spending on bigger ticket items.

“They’re cautious at the moment given what’s going on in the world.”

While the second half of the year including Christmas is traditionally much stronger for the firm, it said it was cautious.

JLP said in the half year results: “There is no doubt the wider economic and geopolitical landscape has weighed on our customers during the first half and we remain cautious in our outlook for the second half.

“As in every year, the majority of our profit is earned in the second half, and the full-year outcome will be determined by peak trading.”

Mr Tarry said there will be further cost pressures over the remainder of the year due to the Iran war and a rising workforce bill, pushed up by National Insurance tax increases and wage rises.

But he told PA the group was operating in a “highly competitive market” and was “committed to making sure we do everything we can” to keep prices down for shoppers.

The John Lewis sales decline marks a reversal of trading fortunes for the group after it saw sales rise by 3% in 2025-26.

Underlying operating losses widened to £83 million in the department store arm, from £53 million a year ago, with the firm saying it “invested more in promotions in response to the subdued market”.

Will Kernan, former non-executive director at John Lewis, has this week taken over from Peter Ruis at the helm of the department store business.

The new managing director’s career has included stints as boss of high street retailers River Island and The White Company.

Susannah Streeter, chief investment strategist at Wealth Club, said the summer’s heatwaves had also held back trading for John Lewis.

She said: “While the soaring temperatures over the summer might have boosted online sales of fans, outdoor goods and picnic treats, it made shopping a less attractive hobby as households found ways to cool off instead.

“When they did want to browse online or in stores, shoppers – with increasingly tight budgets – have been choosier, looking for bargains or discount sites for a retail fix.”