The managing director of John Lewis, Peter Ruis, has announced his abrupt departure from the UK's largest department store chain, just days after Harvey Nichols, the luxury Knightsbridge store, was bought out of administration by Mike Ashley's Frasers Group for a knockdown price. Ruis, who has led the 36-store chain for only nine months, said he was leaving with the business on a 'stronger footing'.
Sudden Exit and Succession
John Lewis announced that Ruis had decided to step down to 'pursue new projects'. Insiders suggest he had been discussing an exit for months, but this was met with scepticism given that a media briefing led by Ruis was scheduled for 3 September, just three days before his departure. It is understood he will still hold the briefing, days before the group announces half-year results.
Ruis is to be replaced by Will Kernan, a non-executive board member of the employee-owned John Lewis Partnership, which also runs Waitrose. Those close to Ruis suggest he was leaving 'on his own terms', may have personal reasons for moving on, and did not appear to have a new job lined up. Sources close to the company say Ruis and Jason Tarry, the chair of the parent group, have notably different career backgrounds and management styles, and were always unlikely to gel. Ruis returned to the business in 2024 after a decade away running retailers including Jigsaw and Anthropologie, while Tarry, a former Tesco executive, took the top job shortly after.
Strategic Challenges and Industry Pressure
Nick Bubb, an independent retail analyst, said the sudden exit came despite Ruis 'appearing to be doing a good job in difficult circumstances'. He said it was 'hard not to link the news with the recent Jason Tarry comments about tough trading at John Lewis' but noted the company's line that it had arranged an 'orderly succession to Kernan'. Richard Hyman, another retail analyst, said Ruis might have been prone to big investments but 'for a department store to work, it has got to be a really strong brand. It is about handwriting and that is something Peter Ruis is good at.' Another industry source said Ruis was 'getting the best tune out of it on trading that was possible, but the issue is more strategic change and grasping nettles'.
Last year, John Lewis increased sales by 3% to £4.9bn, with underlying profit up 29% to £58m in a 'subdued market'. Staff across the partnership received their first annual bonus in four years. Ruis led the revival of the group's 100-year-old 'never knowingly undersold' promise, which helped deliver a decent festive season. He also oversaw the renovation of large stores including those in Oxford Street, Bluewater and Glasgow, and spearheaded the launch of collaborations including bringing Topshop, Waterstones and the Jamie Oliver brand into stores.
Industry Turmoil and Future Prospects
The department store sector is under heavy pressure from online competition and high costs. Large sites have become a burden, attracting huge business rates and hefty costs to keep them updated. The John Lewis estate is almost the last national department store chain standing after the closure of Debenhams and Beales. In recent years, Fenwick closed its London flagship store on Bond Street, the Weston family sold Selfridges in 2022, and Harvey Nichols was described as in a 'death spiral' by Frasers Group boss Mike Ashley.
House of Fraser has been reduced by two-thirds since 2018 to just 20 outlets under Ashley, who has gained five new sites in the UK in landing Harvey Nichols, including the Knightsbridge flagship and potentially another in Dublin. Ashley is an expert in property development, and could make more of these sites with a mix of his brands and potentially other services such as hotels or gyms. Will Kernan has his work cut out to keep the tills ringing at John Lewis, or this may be the next chain Ashley has his sights set on.
