Minimum Wage

Shop prices return to inflation as retailers struggle to shoulder costs

Shop price inflation increased to 0.4% year on year in June, compared with a decline of 0.1% in May, as retailers grappled with increases to minimum wage and employer national insurance costs. Furthermore, non-food inflation increased to -1.2% year on year in June, against a decline of 1.5% in May.…

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Halfords profits rise 6.4% to £38.4m in FY25

Halfords has reported that its underlying profit before tax rose 6.4% to £38.4m for the year ended 28 March 2025, above the previously guided £32m to £37m range. Alongside this, its group sales rose 2.5% on a like-for-like basis while its overall revenues inched up 0.1% to £1.72bn. However, the…

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Is kidswear holding fashion retailers back?

Children’s apparel rarely commands the spotlight in retail reporting – but when it underperforms, the drag is felt quietly across the balance sheet. In its latest financial results, Adena Brands – owner of Monsoon and Accessorize – reported a £7.5m pre-tax loss and an 11% decline in group sales. The…

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Lidl, Halfords and The Range repay staff over minimum wage breach

Lidl, Halfords and The Range are among a number of UK companies named and shamed by the Department for Business and Trade for paying some workers less than minimum wage between 2015 and 2022. Lidl failed to pay £286,437.18 to 3,423 workers, Halfords failed to pay £140,829.79 to 4,341 workers…

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Monsoon owner sees FY losses widen to £7.5m

Monsoon and Accessorize owner, Adena Brands Limited, has reported a £7.5m loss before tax and an EBITDA loss of £2.4m for the year to 31 August 2024, due to “significant” cost inflation which was driven by the UK National Minimum Wage rise.  The loss also comes as group sales for…

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Clintons returns to FY profit following store closures

Clintons has returned to profit following a period of store closures and job losses, with pre-tax profits rising to £8.1m in the year ended 29 June 2024, up from a loss of £5.4m the prior year. Full-year sales fell from £96.5m to £82.6m over the period, which was a “satisfactory…

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Nearly half of all retail staff worked while unwell last year

Nearly half (46%) of retail staff worked while unwell at the end of last year, which is 5% higher than the end of 2023, as fears around job cuts following the autumn Budget’s tax rises took hold. According to the new Retail People Index, published by the Retail Trust and…

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Today’s news in brief-1/4/25

Retailers are bracing for a £5.56bn rise in costs following the implementation of recent Budget measures, including higher National Insurance contributions and an increased minimum wage. According to Retail Economics, these changes will force businesses to absorb £1.76bn in profit losses while passing £1.72bn onto consumers through price hikes. Chancellor…

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Retailers face £5.6bn rise in costs as Budget comes into play

New research by Retail Economics, along with frontline specialist Yoobic, has found that retailers face a £5.56bn rise in costs from this week as changes from the Budget are enacted, The Telegraph has reported. The rising bills will reportedly cost shoppers £1.7bn over the next year as costs are passed…

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Spring Budget 2025: what it means for the retail industry

The UK retail sector has been navigating a volatile economic landscape, with rising operational costs, shifts in consumer spending, and policy changes placing unprecedented pressure on businesses.  The Spring Budget 2025, delivered by Chancellor Rachel Reeves, was highly anticipated by industry leaders, who had hoped for measures that would alleviate…

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