Cost of Living
This coverage examines how the UK’s ongoing cost-of-living crisis is reshaping the retail landscape. Reporting includes the impact of rising operational costs—such as increased National Insurance contributions and higher minimum wages—on retailers’ margins and employment decisions. Additionally, the content highlights shifts in consumer behaviour, with shoppers prioritising value and reducing discretionary spending. The analysis also addresses the broader economic implications, including store closures and job losses, providing insights for retail professionals navigating these challenges.
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Sep- 2022 -16 SeptemberHigh Street
DFS profits fall as cost of living sees sales soften
DFS has revealed that its reported profit before tax has almost halved to £58.5m, down from £102.6m, as rising inflation negatively impacted its supply costs and dampened demand for its products. In its preliminary results for the 52 weeks ended 26 June 2022, it revealed that revenue from continuing operations…
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16 SeptemberEconomy
Retail sales fall 1.6% in August as cost of living begins to bite
Retail sales fell by 1.6% in August this year, due to rising prices and cost of living which are affecting sales volumes, according to the Office of National Statistics (ONS). All main sectors, food stores, non-food stores, non-store retailing and fuel, fell over the month; which happened in July 2021,…
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1 SeptemberHigh Street
Footfall recovers in August despite cost of living crisis
Footfall has strengthened across UK retail destinations in August 2022 to -13.2% below 2019 compared with -14.2% in July 2022, after it had weakened from -12.3% in June 2022, according to Springboard’s Footfall Monitor. The “unexpected turnaround” covering the four weeks 31 July to 27 August saw footfall strengthened in…
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Aug- 2022 -26 AugustEconomy
Energy price cap to rise by 80% to £3,549 from October
Ofgem has confirmed that the energy price cap will increase by 80% to a record £3,549 a year for dual fuel for an average household from 1 October 2022. The rise will affect those on standard variable tariffs, with the record annual bill only being based on typical usage. At…
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Jul- 2022 -22 JulySupermarkets
Gov agrees deal with grocers to help with cost of living crisis
The Government has agreed deals with major UK grocers, including Asda and Sainsburys, to help ease the cost of living crisis as part of its Help for Households Campaign. The deals are designed to reduce costs at the checkout and ensure access to necessary services for families during the summer…
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8 JulyNews
Cost of living crisis weighs on retail sales growth
High levels of inflation and the deepening cost of living crisis have prompted further slowing of retail sales growth, according to BDO’s High Street Sales Tracker (HSST). It found that total like-for-like (LFL) sales, combined in-store and online, increased by +8.4% in June compared to the equivalent month in 2021,…
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4 JulySupermarkets
Cost of living crisis will not curtail Brits summer spending, M&S finds
The cost of a living crisis is not dampening UK consumers’ desires to make the most of this summer, according to Marks and Spencer’s latest ‘Family Matters’ update. It found the cost of living is cited as a top concern by 82% of UK families, up 10% since the end…
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Jun- 2022 -27 JuneEconomy
Cost of living crisis could lead to ‘mild recession’, report warns
There is a rising risk of the UK economy falling into a “mild recession” due to the cost of living crisis, according to the latest economic report from KPMG. In its quarterly report, the ‘Big Four’ accounting firm said that the UK economy faces a number of global and domestic…
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27 JuneEconomy
High street footfall plummets amid cost of living strain
High street footfall fell 25% in May against the previous month, according to RSM UK’s analysis of the latest data from Datscha, showing that the biggest month-on-month decreases were seen in Glasgow (down 54%), Newcastle (down 40%) and Brighton (down 39%). Footfall is reportedly still 48% lower than pre-pandemic levels,…
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16 JuneHigh Street
Boohoo announces sales drop amid cost of living crisis
Boohoo has announced that its revenues declined 8% in the first quarter of 2022, but are up 75% over the three-year pre-pandemic period reflecting multi-year market share gains across the Group’s multi-brand platform. Gross demand growth was up 9% year-on-year, with net sales impacted by the ongoing normalisation of returns…
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