Morrisons store closures: 900 jobs to go as 11 branches are closed after falling sales

Chief executive David Potts said the stores had become "part of the problem rather than the solution"

The company said it will open 25 new stores in 2012, creating jobs including butchery, bakery and fishmongery posts (PA)

More than 900 staff at Morrisons will be told that they could lose their jobs as the supermarket said it would shut 11 stores across the country.

Chief executive David Potts said the stores had become "part of the problem rather than the solution".

He added that he was still working through reviewing the entire estate and did not rule out future store closures, although said there were none in the pipeline.

The latest store closures come as the company sold its entire 140 M Local convenience stores yesterday at a £30m loss.

The decision comes as the UK’s fourth biggest supermarket watched liked for like sales drop 2.7 per cent in the six months to August 2, as shoppers continue to desert the business for cheaper rivals Aldi and Lidl.

Total sales dropped 5.1 per cent to £8.1bn, with pretax profits down 47 per cent to £126m due mainly to an £87m hit on restructuring costs.

Mr Potts, who joined earlier this year, completed a six month review of the business and said he wants to focus on reviewing the store experience, introducing more third party offers, fewer promotions and giving more autonomy to store managers.