In late April 2025, the Co-op pulled its stores offline after a major cyber-attack crippled its IT infrastructures, resulting in lasting operational chaos. Hackers broke into systems, sometimes causing payment failure. This disruption led to massive shortages of all categories of goods in retailers’ stores, ushering in a stormy first half of the fiscal year. As a result, the Co-op announced an astronomical £206 million in lost revenues. This decline came despite a string of issues that have devastated its ridership and business model.
The initial cyber-attack denied essential services to the Co-op. It was an enterprise that resulted in the theft of sensitive customer data, putting all 6.5 million of its members at risk. Co-op chair Debbie White has said the incident has created “extraordinary burdens” for the cooperative. In reality, the attack’s impact was felt far and wide. Consumers experienced empty grocery store shelves and trouble with a lack of cash acceptance emerging as a way to hotspot.
On the financial side, the Co-op was reporting a £75 million underlying pre-tax loss for the half year ending 5 July 2025. Last year, the combined group revenue was at £5.6 billion. It is now set to fall to £5.48 billion. The organization has led the charge in making public its criticism of its perpetual crisis. It warns that costs and spending pressures may exceed £200 million over the rest of 2025.
The Co-op said it already anticipated an additional £80 million hit this year due to these thefts. This stacks on top of the difficulty already imposed by the recent cyber-attack. Alliance Chief Executive Shirine Khoury-Haq said the Co-op’s pride should come from how they have faced these challenges. She focused on the need for long-term resilience and climate adaptation.
White elaborated on future endeavors, asserting that the Co-op must now focus on rebuilding “better and stronger to meet the challenges and opportunities that lie ahead.” Even through the recent struggles, she too is hopeful for the organization’s future and their ability to rise above these challenges.
Like all companies, the Co-op is currently going through stormy seas and expect that the cyber-attack’s total cost will exceed early estimates. It further anticipates possible continuing effects on its business through the second half of 2025. The long-term impact of this breach on customer trust and business performance has yet to be proven.