Ikea has insisted there are “no plans” to close its Croydon store employing 574 people, after the announcement it will shut its huge Tottenham branch.

The Swedish furniture chain said the closure of the North London store is part of a wider overhaul of its London branches.

A closure date is yet to be set and Ikea said it will find alternative jobs for “as many as possible” of the 450 staff.

Following the announcement, an Ikea spokesperson said the Croydon store will remain open, saying simply: “Today we have no plans to close other stores.”

The iconic Purley Way shop opened in 1992 on the site of the old Croydon B Power Station.

The old chimneys of the power station can be seen on the Croydon skyline with Ikea blue and yellow stripes.

Leader of the opposition Councillor Jason Perry said: “My understanding is they were looking at a different model of working, they are opening different town centre stores. I would be concerned if they were looking to change Croydon. I am pleased there are no plans to close Croydon, it is a large employer in our town.”

On social media, Londoners reacted to the loss of the North London store with one saying: “Ikea’s other London-focused stores: Croydon, Greenwich, Hammersmith, Lakeside and Wembley. Seems bizarre to leave East and North London so ill served.”

This was echoed by others on Twitter who said North London Ikea fans will now have to travel to South or West London to get their fix.

Another Tweeted with fears that the Croydon shop could close. They said: “I feel like half of Croydon‘s GDP is in its IKEA … be peak if they close it.”

Ikea said changing shopping habits was one of the reasons it will close the Tottenham store.

The company said: “Last year, online represented almost half of the retailers’ total sales and the demand for different services as well as convenient deliveries accelerated. This, combined with the redevelopment of the area where the store is located, prompted the retailer to assess the long-term viability of the site.”

The chain recently opened a smaller branch in Hammersmith and plans to open a similar store in the former Topshop site in Oxford Circus next year.