Co-op Secures £350m Loan from Six Major Banks

Co-op Group has secured a £350 million five-year lending agreement with six major banks—HSBC, Barclays, ING, Lloyds, NatWest, and Rabobank—reflecting strong market confidence in its financial strength and resilience. The funding deal follows Co-op's return to profit before tax for the first time since 2020, supported by a 35% increase in underlying operating profit and a 22% rise in member numbers to 6.2 million. The group’s credit rating was upgraded by Standard & Poor's in late 2024, and it has successfully renewed and extended its revolving credit facility by five years. This funding arrangement is linked to Co-op’s ambitious ESG commitments, including achieving Net Zero by 2030, supplier adherence to science-based targets, reducing food waste, and promoting diversity in management. CFO Rachel Izzard described the agreement as a powerful endorsement of the mutual’s renewed financial strength, resilient operating model, and member-driven values. Co-op operates over 2,300 food stores, 800 funeral homes, and a wholesale business, employing 54,000 staff and generating annual revenues exceeding £11 billion.