Marks & Spencer’s £340 million automated distribution centre sets new sustainability standards with TMX Transform partnership

Marks & Spencer partners with TMX Transform to develop one of the UK’s largest automated distribution centres at DIRFT, aiming to double food business capacity and set new sustainability benchmarks by 2029.

TMX Transform has played a pivotal role in Marks & Spencer’s (M&S) ambitious supply chain transformation, partnering in the development of one of the UK’s largest automated National Distribution Centres (NDC). This landmark project, situated at the ...

Daventry International Rail Freight Terminal (DIRFT) in Northamptonshire, represents M&S’s largest supply chain investment ever, with a capital outlay of £340 million. Slated to open in 2029, the 1.3 million-square-foot facility will be central to M&S’s strategy to double the size of its food business by enhancing distribution capacity, reducing long-term costs, and improving product availability.

As the new primary food distribution hub for M&S, the facility will directly supply over 200 stores across the UK, alongside two additional regional distribution centres that further extend its reach. Its tri-temperature storage capabilities enable the management of frozen, chilled, and ambient food products, with thousands of live SKUs handled through cutting-edge fully automated case and tray picking solutions. These advanced automation technologies include pallet cranes, high-speed shuttle systems, and hands-free picking technology designed to increase operational efficiency and accelerate the flow of products to store shelves.

TMX Transform’s involvement spans the entire transformation journey—from initial network strategy development and detailed design assurance to the request for proposal (RFP), vendor selection, and contract execution. The consultancy brought extensive global expertise in large-scale automation, risk mitigation, and transformation programme delivery. According to Alvin Fernandes, TMX Transform’s global director of programme and transformation management, their role has been critical in providing M&S with confidence throughout an investment of this scale, supporting operational safety, enhanced supply chain performance, and improved service to stores and customers.

The facility is also notable for its sustainability credentials, having achieved a BREEAM “Excellent” rating. It integrates solar power, is electric fleet-ready, features hydrogen fuel capability, and benefits from direct rail freight access—placing it within the top 1% of environmentally innovative buildings worldwide. This underscores M&S’s commitment not only to operational excellence but also to environmental sustainability within its supply chain.

The creation of this automated NDC marks a significant shift for M&S from traditional mechanised logistics operations to a fully automated, 24/7 operational model designed to meet the dynamic demands of modern food retail networks. The facility is expected to generate more than 2,000 construction jobs and 1,000 permanent roles once operational, contributing positively to the local economy.

According to announcements by both TMX Transform and M&S, the project embodies a strategic move to bolster the retailer’s competitive edge in the increasingly demanding and fast-paced grocery market. Positioned at the strategically important DIRFT location, the new distribution centre leverages robust transport links, including direct rail freight, enhancing logistics efficiency and sustainability.

Industry analysis shows that investments of this magnitude in automated supply chain infrastructure are critical for retailers aiming to scale up in the face of evolving consumer expectations, online shopping growth, and sustainability targets. By partnering with a globally experienced consultancy like TMX Transform, M&S is aligning itself with best practices in supply chain innovation and future-proofing its operations for decades to come.

Source: Noah Wire Services