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Bolton Based AO World Shifts More Roles Overseas Despite Record Pre-Tax Profits

AO World said outsourcing has saved about £2 million and will cut annual costs by £4 million as it shifts more customer roles abroad.

  • AO World plans to move the majority of its customer contact operations to South Africa by next March, with the electricals chain having already offshored around 150 sales roles to save approximately £2 million annually.
  • Government policies including increased national insurance contributions and minimum wage hikes added £8.5 million in annual costs, prompting the firm to prioritize overseas recruitment and efficiency strategies to offset soaring labor expenses.
  • Record pre-tax profits doubled to £50.5 million for the year to March 31, with plans for a £20 million investor return through dividend and buyback programs, while the firm trials robotics and artificial intelligence to potentially automate up to 800 roles.
  • Founder and chief executive John Roberts vowed the group will not make staff redundant, instead choosing not to replace UK workers who leave as the firm transitions operations overseas.
  • Richard Hunter, Head of Markets at interactive investor, cautioned that the "external environment remains uncertain," citing ongoing geopolitical volatility and inflationary pressures, though the group maintains profit expectations for the year ahead.
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AO World offshores sales and customer contact roles in face of soaring wage bill

Efforts to make savings helped it shrug off wider cost pressures to post a record annual profit haul of £50.5 million.

·London, United Kingdom
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City AM broke the news in London, United Kingdom on Wednesday, June 17, 2026.
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