John Lewis to cut hundreds of jobs as it battens down for retail turbulence

John Lewis is to cut 387 jobs as part of its efforts to limit costs as the retail sector prepares for a difficult year.

The department store chain said the jobs would go in a restructuring of its home fittings service that would see administrative roles shift to a central hub in Manchester.

It was also planning to outsource food preparation for its The Place to Eat restaurants.

John Lewis said the decisions affected 773 staff - known as partners - who were now part of a redundancy process that would give them the chance of securing one of 386 new roles.

The partnership, which has previously warned profits would be hit hard in 2017, is not alone in looking to cut costs amid expectations of a tougher retail climate.

The pound collapsed in value against other major currencies after the Brexit vote - by up to 20% versus the dollar alone - making imported goods more expensive.

It has left producers and retailers under pressure to pass those extra costs on, with consumer price inflation taking off before Christmas - although many stores held off on price rises ahead of the crucial festive season.

Official figures released earlier this month showed retail sales fell in January as shoppers faced a jump in food and fuel prices, though more recent surveys have suggested some resilience remains.

John Lewis warned last month that partner bonuses would fall this year.

John Lewis operations director Dino Rocos said its decision was a response to the changing needs of customers amid "a backdrop of structural changes in the retail industry".

He said: "Our Partners are passionate about offering the very best customer service and these proposals will allow us to modernise our business as it adapts to the changing needs of our customers and the role that shops play in their lives.

"We understand that for some this will mean a period of change, and we are working with affected partners over the consultation period to give opportunities for redeployment in new roles wherever possible."