Iceland food set to move to Alliance with Greggs in tow

But Morrisons will not be drawn on the future of its new stores, including four Iceland stores.

Morrisons completed the purchase of 25 island businesses from Sandpiper, including the Morrisons, Iceland and Checkers Xpress stores in Guernsey, last week.

Chief executive officer Rami Baitieh did not respond to questions about the company's plans for Guernsey now the deal was complete.

‘I am delighted that now the transaction has completed we can welcome 520 new colleagues into the Morrisons family,’ he said.

‘It’s a great business with great colleagues and we are all looking forward to the exciting next chapter.’

There are currently three Morrisons branches in St Peter’s, Perelle and L’Islet, as well as Icelands at Admiral Park, Manor Stores, Cobo and the Bridge.

Iceland Foods confirmed that its local branches would close over the next 12 months, but it was instead entering a new franchise partnership with Alliance in the Channel Islands.

The new partnership will see the Braye Road business rebranded as Alliance Food Warehouse at the start of 2025.

The Food Warehouse is part of the Iceland Foods Group.

As a franchisee, Alliance will offer Iceland’s product ranges, including brands such as TGI Fridays, Greggs and My Protein – seasonal merchandise, and an extended value range.

But the shop will also continue to stock goods from outside Food Warehouse partnership.

Alliance currently stocks a number of brands, including Sainsbury’s.

The franchisee partnership will launch with the opening of the Alliance Food Warehouse in January.

However, the store will stock some festive Iceland food from next week, with 15 Christmas freezer cabins.

Iceland Foods international and partnerships director Justin Addison said: ‘We’re delighted to work with Alliance to continue providing our customers in the Channel Islands with Iceland’s range of innovative, value-driven products.’

Alliance managing director Andrew Bagot said the local company was thrilled with the partnership.

‘Together, we’re making it easier than ever for households in the Channel Islands to enjoy Iceland’s fantastic range, from everyday essentials to seasonal favourites.’

Alliance launched as a cash and carry store more than 40 years ago and later expanded to Jersey.

Iceland has had a presence in Guernsey since 2010, initially at Manor Stores.