NEWS
6 ASIAN TRADER 7 MARCH 2025
January sales kicked of a
solid month for retail
with stores delivering
their strongest growth in
almost two years, show
just released figures.
According to retail
body British Retail
Consortium (BRC), UK
total retail sales in-
creased by 2.6% year on
year in January, against a
growth of 1.2% in January 2024.
This was above the 3-month
average growth of 1.1% and
above the 12-month average
growth of 0.8%.
Food sales increased by 2.8%
YOY against a growth of 6.1% in
January 2024. This was above
the 3-month average growth of
2.3% and below the 12-month
average growth of 3%, accord-
ing to a British Retail Consorti-
um (BRC) report.
Commenting on the figures,
Helen Dickinson OBE, Chief
Executive of the BRC, said,
“January sales kicked of a solid
month for retail with stores
delivering their strongest
growth in almost two years,
albeit on a weak comparable.
“Whether this strong
performance can hold out for
the coming months is yet to be
seen. Inflationary pressures are
rising, compounded by £7bn of
new costs facing retailers,
including higher employ-
er national insurance
contributions, higher
National Living Wage,
and a new packaging levy.
“Many businesses will
be left with little choice
but to increase prices and
cut investment in jobs
and stores. Government
can mitigate this by
ensuring its proposed business
rates reforms do not result in
any shop paying more in
business rates.”
Commenting on food and
drink sector performance,
Sarah Bradbury, CEO of IGD,
said, “The current climate of
economic uncertainty is
reflected in IGD’s January
shopper confidence index,
which has declined by 3
points.”
Cold and rain fail to deter plucky UK consumers
Retail sales surge in January
Retail sales surge in January
despite stormy weather
despite stormy weather
The retail industry is being
“raided like a piggy bank”, the
Marks & Spencer CEO has
stated, calling on the UK
government to delay or ease
planned tax and recycling
charges.
Stuart Machin said that
without pausing or staggering
the changes to national
insurance and business rates,
which come into efect this
April, UK retail would get
smaller.
He also speculated on
whether successive govern-
ments were guilty of a
“snobbery” about retail.
Machin said a plan to lower
the threshold at which
employers’ national insurance
contributions (NICs) kick in
should be phased in over two
years.
Machin has stated previ-
ously too that changes to NICs
would add £60m to the
company’s costs which
equated to about half a total
rise in wage costs for M&S,
including an increase in the
legal minimum wage.
“The sector already pays an
efective tax rate of 55 per cent
and the chancellor’s budget
will add £7 billion of extra
employment costs and an
increased packaging levy to a
sector working on margins of
3-5%,” said Machin.
“While businesses like
M&S will fight tooth and nail
to hold down prices for
customers, the British Retail
Consortium and Institute of
Grocery Distribution are
already projecting food
inflation of more than four
per cent.”
Machin further warned
that UK food manufacturing
and farming would contract,
domestic products would go
up in price and more food
would be imported with
potentially less stringent
quality and environmental
standards.
The retail boss also attacked
the upcoming Deposit Return
Scheme, which is slated to go
ahead in 2027, calling it
“nonsensical”.
M&S chief slams government for
raiding retail ‘like piggybank’
Deliciously Ella founder
Deliciously Ella founder
rescues Allplants
rescues Allplants
Plants, a UK-based health-food
brand and business set up by
Deliciously Ella founder Ella Mills,
has acquired the Allplants assets
from administration.
According to a statement signed
of my Mills and her husband
Matthew, Plants has bought Allplants
“name and associated brand assets”.
Founded in 2016 by Jonathan
Petrides, Allplants produced frozen
vegan meals, mainly sold online but
also in select independent retailers.
London-based Allplants was
put into the hands of advisory firm
Interpath in November, resulting in
65 staf losing their jobs.
Sweeping changes on
Sweeping changes on
baby formula
baby formula
Regulators have proposed sweep-
ing changes for the baby formula
industry after finding that parents
could save about £300 a year by
switching to lower-priced products.
The Competition and Markets
Authority (CMA) said issues such as
high prices and branding in the
industry were leading to “poor
outcomes”.
Some brands cost more than the
weekly value of family benefits,
leading to claims that some parents
opted to forgo food to buy the
product.
Labelling of infant formula in
hospitals or other healthcare
locations should be standardised.
NewstrAid’s Retailer
NewstrAid’s Retailer
gives out record grants
gives out record grants
Industry charity NewstrAid has
announced a major milestone,
awarding over 100 grants to retailers
in need since the launch of its Retailer
Support Scheme in May 2024.
Providing financial, emotional,
and practical support, the scheme
has already paid out around
£50,000 to retailers facing ill
health, family crises, bereavement,
and retail crime.
The Retailer Support Scheme
also provides vital emotional
assistance for those afected by
shoplifting or retail crime, as well as
financial aid for households
experiencing a loss of income due
to these incidents.