Sky is planning to close 60 of its worst-performing stores, putting 170 jobs at risk.
The broadcaster has a network of 260 Sky stores across the UK, providing a physical presence to promote its range of TV, phone and broadband services to consumers.
Sky is proposing to shut 23% of its nationwide network, focusing on the stores which are not profitable or where there are a few close to each other.
The proposals, which were delivered to staff on Tuesday, will put 170 jobs at risk. This is about 20% of the 850-strong workforce in Sky’s retail operation.
“As we expand our products and services, we want to make sure that our retail stores are in the right place for customers and making the right contribution to our business,” said a Sky spokesman. “We will continue to have a strong retail presence around the country, but we are proposing to close a number of stores. If the proposals go ahead, we will do everything we can to minimise the number of people affected.”
Despite the timing, Sky says that the move is not related to the softening of the UK advertising market prompted by uncertainty over Brexit.
Last month, ITV announced it was cutting 120 jobs due to political and economic uncertainty as UK broadcasters face up to the worst year for TV advertising since 2009.
ITV is seeking to cut £25m in costs next year following the Brexit vote.
Sky said that the decision to significantly cut its store network is part of a continual review of its retail business.
In February, Sky scrapped the “mobile” sales team responsible for pushing its products in high streets and outside supermarkets, putting more than 230 jobs at risk.