Zara’s sister firm Lefties seeking to topple Primark

This was supposed to be the year Primark made a dazzling £10 billion stock market debut, following a spin-off from parent Associated British Foods (ABF). But 2026 has not started well for the discount chain, once dubbed ‘Primani’.

ABF on Thursday issued a profit warning after a 5.7 per cent fall in sales at Primark’s European arm, which accounts for 49 per cent of sales, in the final quarter of 2025.

And there is more bad news for Primark with the arrival in Britain this year of Lefties, a super cheap – and hip – fast fashion chain from Spain.

The firm is controlled by Inditex, the group behind clothing chain Zara, and is set to open stores at the Lakeside mall in Essex and the Liverpool One shopping centre over the summer period.

It would also be easy for Lefties to mount a challenge to Primark’s flagship store on London’s Oxford Street given Inditex’s billionaire founder Amancio Ortega already owns several major sites in the area through his property vehicle Pontegadea.

Retail consultant Jonathan de Mello says that Zara branches in London and other locations could be swiftly repurposed as Lefties stores should the need arise.

Seen as cooler and slicker than Primark, Lefties appeals to Gen Z with its €17.99 (£15.60) jeans and even-cheaper shirts.

A visit to one of its huge stores in the centre of the Spanish city of Malaga also revealed an expertise in selling ‘dupes’ or copies of higher-end outfits with a shaggy fake fur jacket, a copy of a designer piece, retailing for just €45.99. It stood alongside other offerings for a budget-conscious local clientele with racks of casual trousers starting at €12.99 and shelves full of trainers for €35, a respectable alternative for those unable to stretch to Adidas or Nike. Many will see this strategy as an echo of Primark, which also specialises in selling cut-price alternatives to high-end designs.

Lefties was set up in 1993 to dispose of leftover Zara stock, but now sells its own ranges for men, women and children, as well as homeware. However, the link with its classy fashion-leading sister is still key to its appeal.

One Spanish retail executive said: ‘When you buy from Lefties, you feel as if you are buying from Zara – but at a much lower price. The quality may not necessarily be better than Primark, but that association with Zara chic is crucial.’

The chain operates in Spain, Portugal, the Far East and North Africa, but Inditex said in September it wanted to ‘test Lefties in new markets’.

Its plans could present a threat to Primark, which is still seeking a chief executive after its boss Paul Marchant quit last year after an admission of inappropriate behaviour towards a female colleague.

Lefties sells in stores, but also online through a slick website that resembles something from Vogue magazine.

By contrast, Primark does not sell clothes online, although it offers a click-and-collect service of selected pieces at its 200 UK stores. As De Mello notes, this has left it exposed to competition from Chinese giants Shein and Temu.

Another threat is Inditex’s ability to attract British shoppers. The £154 billion firm not only launched Zara in the UK but Massimo Dutti, Pull & Bear and Stradivarius.

Primark, established in 1969, is seen as the jewel in the crown at ABF, standing as an exemplar of the management flair of the Weston family, the firm’s major shareholders.

ABF last week said UK sales rose 1.7 per cent in the final months of 2025, but the ‘difficult trading environment’ had been forcing it to make large markdowns on stock.

Despite slowing sales, De Mello said ABF was likely to keep considering spinning out Primark as a separate business, with a decision due in spring.

Another challenge for the ABF board, led by Garry Weston, is its food business, home to brands such as Kingsmill and Twinings.

If Weston had hoped to focus on these by splitting off Primark for a tidy profit, then Lefties’ appearance is an unwelcome arrival from the left-field.