Shop Direct in staff redundancy

Online and catalogue retailer Shop Direct has opened redundancy talks with almost 50

staff at its head office.

According to This is Money the talks involve employees from the company’s buying and merchandising division who are said to be "stunned" by the news.

A spokeswoman said the move was the result of "dramatic changes" at the business which are thought to relate to the fact that three-quarters of Shop Direct's sales are now made online compared to less than a fifth five years ago. The company, which owns Littlewoods, Very and Isme, said it would offer voluntary redundancy where possible.

Shop Direct has reported sales of £1.7 billion but has warned that trading will become more challenging in 2012.