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Trade News Archive June 08 May 08 April 08 March 08 February 08 January 08
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18th June 2008
Government urged not to add to retail pressure
The government has been urged not to introduce new policies that would put upward pressure on retail prices, an industry body has said.
British Retail Consortium (BRC) spokesperson Richard Dodd explained that retailers in the country are already struggling to absorb wholesale price increases and any government action to further increase prices could be disastrous.
In particular, the BRC said that supplementary business rates and the proposed supplier ombudsman could drastically increase costs for retailers.
"The government needs to be very wary of imposing extra costs on retailers or directly on customers which will push up prices," Mr Dodd added.
"Retailers are battling to absorb cost increases and keep down prices for customers and the last thing retailers or customers need is for government to be wading in and putting increased upward pressure on prices."
While BRC figures showed that sales in May rose by 1.9 per cent in the UK, the report added that trade remained tough for most retailers. Specifically, the report noted that furniture and larger home wares retailers continued to struggle, despite heavy discounting and promotion.
(c) 2008 Adfero Ltd.
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