PayPoint is restructuring its business into four distinct divisions as part of a broader effort to cut costs and drive more consumers to its retail network. The reorganisation will split the company into units covering network services, merchant services, digital payments and open banking, and its Love2Shop gift card brand.
The payments firm operates through more than 30,000 convenience stores across the UK, providing services including cash withdrawals and deposits, ATMs, bill payments, energy top-ups, and vouchers. It also manages the Collect+ and Royal Mail Shops parcel pickup and return services at thousands of local outlets.
PayPoint hasn’t put a specific number on the expected savings, and hasn’t indicated whether any jobs will be at risk — the company employed roughly 940 people at this point last year. That said, the group has said the restructuring should generate cost efficiencies and may open the door to higher shareholder dividends down the line.
A major focus of the overhaul is driving more foot traffic into its retail partner stores and reshaping its merchant services arm, which supports over 30,000 UK small and medium-sized businesses with in-store payment solutions. That division is set for a significant structural reset as part of the changes.
On the Love2Shop side, PayPoint sees real room to grow. The brand — which offers both digital and physical gift cards — is headquartered in Liverpool’s 20 Chapel Street and is on track to generate around £53.2 million in revenue for the current financial year. The company plans to lean into its Incomm Payments partnership, expand its prepaid savings offering, and use AI tools to sharpen its marketing strategy and accelerate new business wins.
PayPoint brought Love2Shop into its portfolio when it acquired Merseyside-based Appreciate Group for £83 million in 2023. That business, previously known as Park Group, was founded by former Everton FC and Tranmere Rovers owner Peter Johnson, and built its reputation around Christmas hamper savings clubs.
Looking ahead, PayPoint expects to report record results for the financial year ending this March, with full figures due out in June. The company is also projecting it will return more than £90 million to shareholders through a combination of buybacks and dividends before the year is out.