*”Britain’s high streets are facing a deepening crisis as consumer confidence plummets to a record low. The British Retail Consortium reports that economic expectations have worsened for the fifth consecutive month, with retailers bracing for cost increases and job cuts. The introduction of higher National Insurance rates, business rate hikes, and new packaging levies is set to burden businesses with an additional £7bn in costs, which will likely be passed on to consumers.
Simultaneously, a Federation of Small Businesses survey reveals that 33% of company owners anticipate redundancies, double the figure from October. Labour’s proposed workers’ rights reforms, including expanded sick pay and increased dismissal risks, are compounding business concerns. Large retailers such as Sainsbury’s and Morrisons are already slashing jobs, with forecasts predicting the high street could shed 300,000 roles in three years. While the government considers tax adjustments to support smaller businesses, the retail sector faces mounting uncertainty.”*
Quotation by Nigel Holland.
- Consumer confidence has dropped to an all-time low, affecting economic expectations.
- Retailers face £7bn in new costs due to tax and policy changes.
- One-third of small businesses anticipate redundancies due to economic strain.
- Labour’s workers’ rights reforms could deter hiring and increase employer liabilities.
- Over 300,000 retail jobs are at risk as high street struggles.