The People’s Supermarket narrows losses

Turnover doubled to £1.2m.

The not-for-profit social enterprise said it was “delighted” with the performance of its first full year since its inception in June 2010.

Net margin came in at 34%. The People’s Supermarket said net debt is “dramatically declining”.

It added: “With no bank loan or overdraft facilities the finances are looking really encouraging.”

The grocer’s future hung in the balance last month when it was faced with a £20,000 bill payable to Camden Council. However, the matter was settled when the retailer managed to raise the funds.

Chief executive Kate Bull, who is preparing to step down from the grocer, said: “The principle of TPS is that it is driven by the people for the people and our accounts prove today’s consumers want a retail alternative and are turning their back on the leading multiple retailers, with some even reporting a decline in annual sales.

“We believe we have stabilised our financial situation, but there is more to do in reducing our net debt and we are now seeking to restructure our organization.

“We are grateful to the customers, members and suppliers who have supported TPS and helped to deliver its vision to create a commercially sustainable, social enterprise that achieves its growth and profitability targets as a business while advancing the benefits of the community it serves.”

The People’s Supermarket has a network of about 1,000 volunteers who receive a 20% discount on purchases and work four hours in the store each week. Its model has generated widespread publicity and was the subject of a TV documentary in 2010 when it launched.

The grocer sells 2,000 lines and supports 26 local suppliers in the London area.