The retailer said it is “already successful” in the financial services sector with the John Lewis Partnership card being “the UK’s biggest retail credit card”.

But it announced it is committing £100m over five years to quadruple the business as it looks to offer new products and services such as savings and insurance “where trust really matters for customers”.

Meanwhile, it has identified 20 sites it owns which could be used to benefit local communities by providing quality and sustainable housing, while providing a stable income.

It aims to submit planning applications in the new year for two of the sites in greater London.

By entering the ‘build to rent’ housing market, the John Lewis Partnership plc will also be able to furnish the properties using its home products and deliver Waitrose food.

“We’re a landlord already at three of our properties so this is an obvious extension for us. And we’re now talking to developers and investors who can help us achieve our ambitions”, it stated.

The move comes as John Lewis announces plans to reach £400m profit by year five; to expand its digital, virtual and delivery services; pledges to recruit young people coming out of the care system and commits to cutting waste and becoming net zero carbon by 2035.

As such, it said it will grow Waitrose delivery capacity beyond 250,000 per week (up from 55,000 pre-pandemic) and an additional 25 Waitrose shops will join five other stores in the Deliveroo trial to deliver shopping in 30 minutes.

It added that when profit reaches over £200m, it will pay staff the voluntary Real Living Wage and aims to pay a bonus when profits exceed £150m and its debt ration falls below four times.

Last month, John Lewis confirmed it will scrap next year’s bonus for staff – the first time since 1953 – after posting pre-tax losses of £635m.

‘Thrive for the next century’

Sharon White, chairman of the John Lewis Partnership who is also a non-executive director at Barratt Developments plc, said: “We’ve seen five years of change in the past five months and Waitrose and John Lewis have responded with great agility. Our plan means the John Lewis Partnership will thrive for the next century, as it has the last.

“We’re adapting successfully to how customers want to shop today, while showing the Partnership is improving lives and building a more sustainable future. We’ll share our success with our customers, Partners – who own the business – and our communities.”

Nina Bhatia, executive director of strategy and commercial development at the John Lewis Partnership, said: “This is a bold plan to grow our business and get us much closer to our customers. Waitrose and John Lewis are two of the country’s most trusted brands and we’ll offer the best products and customer service on the high street and online.

“We’re creating new inspirational services for customers where strong ethical values and peace of mind matter, like reusing and recycling products, personal savings and rented housing. Our plans will firmly establish Waitrose and John Lewis as the go-to brands for customers that care about quality, value, and sustainability.”