M&S to axe third of top managers

Up to a third of senior managers at Marks & Spencer's London headquarters are to be axed in the latest attempt to breathe new life into Britain's beleaguered high-street store.

Up to a third of senior managers at Marks & Spencer's London headquarters are to be axed in the latest attempt to breathe new life into Britain's beleaguered high-street store.

The redundancies at the Baker Street office come as M&S prepares for more price cuts to halt sliding sales.

It has already cut 700 jobs at head office and its stores in the past year and is understood to be looking to cut another 30 of its 100 divisional directors and executives before Christmas.

The move comes as directors are attending "management bonding" sessions in Norway. M&S is also losing top managers as morale plunges. Neil McCausland, responsible for "management change", left last week to become UK managing director at C&A.

M&S starts another big price campaign today, offering £5 of money-off vouchers for every £25 spent on clothing and home furnishings this week.The retailer is desperate to kickstart Christmas sales, which account for 40 per cent of group profits.

Insiders say trading is still poor. Last week's underlying sales, excluding new shop openings, are thought to be down by single digits on last year in the clothing division. The food division is faring better, with sales 2 per cent up on last year.