Primark chief executive Paul Marchant has resigned following an allegation by a woman about ‘his behaviour towards her in a social environment’.

Following an investigation by external lawyers, Marchant is said to have “acknowledged his error of judgement”, accepting that his actions “fell below the standards expected by the business”.

Associated British Foods, which owns Primark, said he had cooperated with the investigation and apologised to the woman in question.

ABF chief executive George Weston said: “I am immensely disappointed. Colleagues and others must be treated with respect and dignity. Our culture has to be, and is, bigger than any one individual.

“At ABF, we believe that high standards of integrity are essential. Acting responsibly is the only way to build and manage a business over the long term.”

Marchant had been chief executive of the fashion retailer since 2009. Eoin Tonge, ABF’s finance director, will act as Primark’s chief on an interim basis.

ABF’s share price fell by almost 4% to £18.64 after the announcement.

The company said it would “continue to offer support to the individual who brought this behaviour to its attention”.

Hannah Copeland, Senior HR Consultant at WorkNest, said the resignation would come as a “reality check” for businesses.

“While in this instance it is a positive indication of a culture in which employees feel able to raise their concerns, especially about a senior leader, it also raises the question about whether enough is being done to comply with the duties laid out in the Worker Protection (Amendment of Equality Act 2010) Act 2023, which came into effect on 26 October 2024,” she said.

“This legislation places a legal duty on employers to take reasonable steps to prevent sexual harassment in the workplace.

“Regular training on workplace conduct, ethics, and the organisation’s code of behaviour is essential. Such programs help prevent misconduct and ensure that all employees, especially those in leadership positions, are aware of the expectations and potential consequences of their actions.”

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