Marks & Spencer is ploughing £340m into a new automated National Distribution Centre in Northamptonshire, marking the largest single investment in its supply chain to date.

The 1.3 million sq ft facility, based at Daventry International Rail Freight Terminal, is due to open in 2029 and will play a central role in M&S’s plan to double the size of its food business.

The site will feature state-of-the-art automation, from pallet cranes and high-speed shuttles to hands-free picking systems designed to improve efficiency and get products onto shelves faster.

M&S Food MD Alex Freudmann said: “We’re transforming M&S into a destination for the weekly shop and modernising our supply chain is central to that ambition.

“This investment will boost capacity for future growth, lower our cost to serve over the long-term, and improve product availability – ensuring customers find the right products in the right place at the right time.”

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The high street retailer said it expected the construction phase to create over 2,000 jobs, with around 1,000 permanent roles once operational.

M&S said the depot would be designed to achieve a BREEAM Outstanding rating, putting it among the world’s most sustainable warehouses. Features include solar panels, rainwater harvesting, EV charging, and recycled materials.

The investment follows the opening of a 390,000 sq ft depot in Avonmouth earlier this year, serving the Midlands, South West and South Wales.

It also comes alongside M&S’s accelerated store renewal programme, which will see 420 “bigger, fresher” food stores and 180 full-line stores by 2027/28.

Prologis has been appointed as development partner on the new site, with TGW Logistics providing automation systems.

Paul Weston, Regional Head at Prologis UK, said the scheme was “a long-term infrastructure platform tailored to M&S’ future supply chain”, while TGW’s Craig Mitchell added that the partnership was built on “mutual trust, shared ambition, and a commitment to delivering state-of-the-art automation”.