M&S cuts 1,250 jobs and shuts 27 stores in UK

Marks & Spencer is slashing up to 1,230 jobs and shutting 27 stores after suffering its worst sales performance for a decade.

The high street retailer announced this morning it will shut 25 "underperforming" food outlets and two main stores. This will cost the jobs of up to 780 staff and a further 450 jobs will be cut at its head office.

The company will also cap employees' annual increases in pensionable pay to 1%, a blow to the 21,000 people on its final salary pension scheme.

Executive chairman Sir Stuart Rose said the cutbacks were necessary to help M&S ride out the UK recession.