BRC calls on Chancellor to address retailers in Budget

The British Retail Consortium is calling on Chancellor Philip Hammond to include action to support consumer spending and help encourage private sector investment in the upcoming Budget.

In a submission sent to the Chancellor, the British Retail Consortium proposes a series of targeted measures to support and protect the retail industry in what it is calling a period of “profound change and uncertainty”.

These recommendations include: freezing the business rates multiplier in April 2018, which will increase the bill of every rate payer in the country and divert 270 million pounds of retail investment from delivering for consumers and away from local investment; Keeping the cost of living down for consumers by not increasing income tax rates; Allowing flexibility in how Apprenticeship Levy funds can be spent; and working in partnership with retail to enhance basic digital literacy skills of the workforce.

In addition, the British Retail Consortium added that it wanted the Government to ensure that business does not face double regulatory charges or new financial burdens from the Withdrawal Bill, as well as make the necessary investment in infrastructure at ports and border control points to ensure an orderly exit from the EU.

British Retail Consortium chief executive Helen Dickinson said: “At a time of uncertainty for both the economy and the country, it’s important we set ourselves up for success. The cumulative burden of government-imposed costs has become acute. Indeed, September’s inflation figures mean retailers are faced with a 270 million pound leap in their business rate tax bills alone next spring.

“With retailers’ margins being squeezed to their limit, this is money that could be better spent investing in keeping prices low for consumers, in local communities up and down the country and in developing a workforce which is fit for the future.”

Dickinson added: “Without the Chancellor’s intervention, the consequences for town centres and jobs will be even more keenly felt in the most vulnerable communities. For consumers, the squeeze on household incomes will be compounded as the pound in their pocket buys them even less at the checkout.

“Retailers want to help build the confidence of their customers, us all as shoppers, not damage it. But to do this they need the support of Government policy that keeps down the cost of living, not exacerbates it.”

The Chancellor will unveil the Budget November 22.