The major Hull employer has announced a strategic review of its operations in the city but is ‘deeply committed to the area’
The Arco site in Blackfriargate, Hull(Image: Google)
Safety equipment and workwear firm Arco says it is looking at the future of its £16m Fruit Market headquarters – home to 300 workers – which opened in 2021. The Hull business has proposed creating a single hub at its National Distribution Centre (NDC) in the city – calling the future of the Blackfriargate site into question.
The business, which says it remains “deeply committed to the area”, has faced losses in recent years following exceptional demand during the pandemic – with a turnaround programme launched to counter challenges. In the last two years, there has been about £11.8m of costs associated with the programme.
Recent accounts for the company show it shed 47 jobs in the year to the end of June 2025 when it employed around 1,335 people. Arco said it had no plans to reduce headcount as part of the proposed move of staff to the Henry Boot Way facility, saying it would “create a dynamic environment for collaboration and growth”.
If the relocation goes ahead, it is expected to happen this year. Arco said the Blackfriargate building was designed for a pre-Covid world, with hybrid working changing the requirement since.
In a statement, the firm said: “The consolidation of its Hull-based teams into one central location would further enhance the existing NDC site and create a dynamic environment for collaboration and growth. The move to a single environment and further strategic investment doubles-down on the successful launch of the Arco Discovery Centre in April 2025.
“This cutting-edge facility already adjoins the NDC and unites product expertise, advanced safety training, and industry collaboration under one roof. Visitors to the Discovery Centre gain a unique insight into Arco’s operations -transparency which reflects its promise to deliver value through efficiency, innovation, and trust.
“They can also see Arco’s UKAS-accredited Product Assurance Laboratory, which ensures the highest standards of safety, quality and compliance.”
In 2024, Arco laid out plans to invest £17m as part of its “Build for Growth” strategy which is intended to position the business for the next decade. In its 2025 accounts, Arco said it had made strategic progress including via a digital transformation programme, the launch of more than 1,300 new products and the launch of its Arco Discovery Centre.
Last year, Arco booked about £267m of turnover, with its operating loss narrowing from £6.4m to £391,000. Operating profit before exceptional costs rose from £948,000 to £3.1m. Profit margin improved by 1% as chief executive Guy Bruce said it had been a “pivotal year, marked by strong financial performance”.
Regarding whether or not the Blackfriargate facility would be sold, Arco said it was still considering its options.