The Co-op has announced it will decide whether to roll out its current franchise programme by the end of the year. The company partnered with forecourt operator MRH to pilot seven franchise stores in late May, with the first site opening just outside of London in Hillingdon.

A statement by the Co-op reads: “The model provides a low-cost way to rapidly increase our Co-op presence across the UK, reaching new communities and members with our quality convenience offer.”

The company’s newly released interim report hints that a rollout is likely, with one of their key objectives for 2018 listed as: “Looking for opportunities to extend the reach of our brand through franchise arrangements and wholesale operations.”

This is supported by documents leaked to Retail Express last week showing the Co-op has already committed to providing Nisa retailers with the opportunity to become Co-op franchises if they accept the merger of the two companies.

Regardless of franchises and takeovers, the interim report shows that their expansion plans are on schedule, with 100 new stores to be opened in 2017 and more than one million members added since this time last year. The report also revealed a massive increase in community funding, both in terms of the amount given back to individual members, and the amount given to local community causes and groups.

Though profits were down, the Co-op had success elsewhere with a 22% increase in sales of its own-branded products and a 3.5% increase in food sales compared to the previous year.