The DIY market is continuing to to grow and our growth is outstripping that

Ian Morris, managing director B&Q Warehouses

The bulk of the expansion will come in the company's warehouse division, which includes larger out-of-town stores.

B&Q's parent company, Kingfisher, recently stepped up its growth plans for the chain, setting a target of 175 warehouses for five years' time.

The group said it had seen a 12% increase in sales as the lowest interest rates for 40 years encourage people to think about home improvements.

The boom in DIY television programmes such as Changing Rooms was also continuing to drive sales, the company said.

Housing downturn

Ian Morris, managing director of B&Q Warehouses, said the downturn in the housing market was good for business.

"They (home owners) will be more cautious and that means they will continue to invest in their existing property," he told BBC Breakfast.

"The DIY market is continuing to to grow and our growth is outstripping that," he added.

Mr Morris said he expected the UK DIY market to grow by 6% this year.

B&Q is set to open 18 B&Q Warehouses and four smaller B&Q Supercentres by next summer and said many more would follow before the end of 2002.

'Don't move, improve'

B&Q chief executive Bill Whiting said: "We are sensitive to what is happening around the world and we are aware of how it is affecting the economic situation.

"But people will continue to improve and renovate their homes and even if the housing market flattens, we believe that the adage `don't move, improve' will continue to boost our sales."

New B&Q warehouses are planned for Plymouth, Kidderminster and St Andrew's Quay, Hull, among other locations.

While some stores are already fully staffed, a number of planned openings are yet to recruit, such as stores in Chester, Sutton, and Lincoln.

B&Q claims to have already created 3,000 jobs as a result of its expansion so far this year.

The company currently operates 310 stores, employing 28,000 people.