In the soft drinks category the pandemic proved a sales shock, because what had been a massive on-the-go purchase – especially during the summer – had effectively suffered from having the opportunity snatched away: instead of being out and about, or daily commuting, the shoppers who would usually grab a can or bottle were for the most part no longer there.
Instead, shopping patterns changed, and consumers began to buy larger format packs and multi-packs to take home – the suppliers responded in kind. Trips to local convenience stores increased in frequency and basket size under lockdown, offsetting the loss in impulse spend by increasing the top-up value of consumers who were suddenly living locally and favouring smaller shops that were reassuringly far away from crowded supermarkets.
Now, as the last vestiges of lockdown rules – and much of the lockdown mentality – fades away, Asian Trader met up with Phil Sanders, out-of-home commercial director at Britvic, to find out what his research had shown about changing patterns of consumer habits and spending, and whether we could expect there to be a return to business as usual – or even an improvement on it.
“Soft drinks is a hugely valuable category in convenience, worth £2.3bn, but macro trends are influencing what products consumers choose and where they choose to buy them,” Phil says. “Our research shows that on-the-go soft drinks are very much back in business, and there is a clear opportunity for retailers to drive sales as a result.”
On-the-go sales are vital not just for the soft drinks manufacturers such as Britvic, but also for the snacks and confectionery sectors, whose products are often bought alongside a soft drink as part of an integrated snack or a meal-deal – soft drinks are an “umbrella” product for on-the-go impulse buying, and their success can also float all the other boats, so to speak.
Source: Britvic
“We know that during the pandemic soft drinks remained the number one category bought on a food-to-go mission, and our latest research reflects this, with a quarter of those surveyed saying the reason they buy soft drinks on-the-go is to have them with food at lunchtime,” says Phil. “Retailers should be including soft drinks in their meal deal solutions, clearly signposting the offer in-store and encouraging cross-category purchases to maximise the opportunity.”
Sell more soft drinks and you will sell more of everything else as well.
Back to abnormal
It’s not just the shoppers but everybody in commercial life who is gradually adjusting back to a revised way of the old style of working – which might be best described as “office lite”.
“We did a survey around Britvic towards the end of Covid, and everybody came back and said, ‘Look, there are definite advantages to working at home, I don't have to sit in a car and I save on travel time,’ etc.” says Phil. “But everybody also came back and said, ‘But I do miss a bit of social interaction and coffee machine conversations and seeing people in the office’. So the answer for the vast majority of people is somewhere in the middle.”
That attitude probably mirrors organisations (and so commuter shopping patterns) everywhere across the country, and it means two things: soft drinks sales will partially revert to how they were, but there will also be an increased at-home element to sales – and there could be a net benefit for retailers in this.
“I look after all of the out-of-home business for Britvic, basically everything that’s not a supermarket or a discounter,” says Phil. “It's a pretty broad church, and obviously a big bit of that is the area you cover.” It is, and it means that Phil is a man worth listening to.
“What do people think they're going to buy more of and less of going forward? And how are their shopping habits going to change?” he asks, describing the scope of the research – a survey of 2000 Brits who regularly indulge in delicious soft drinks, Britvic and otherwise.
“I guess what we're trying to do is to help your readers get on the front foot, and to be honest, what we're beginning to see in the latest market data is that what people were buying during Covid is not what they're going to be buying going forward – and I guess quite a lot of your readers will be stocking ranges based on what has been selling.”
The key thing, then, is to quickly restock according to what’s in the pipeline in terms of changing consumer habits.
“That is the crux of it, to be honest,” Phil agrees. “During lockdown, we had an enormous number of people going into convenience stores buying take-home packs. And we did very well out of that to be honest, because we sold a lot of Pepsi 2 litre and 1.5 litre bottles and a huge amount of Robinsons Squash. Squash did really, really well during lockdown because as a category that's about the cheapest way you can give your kids a soft drink when they're at home. It went absolutely nuts.”
That, however, is changing, and Phil thinks the secret of success here is to pick up on-the-go sales again while retaining a good portion of the extra at-home sales generated under lockdown.
“The honest answer is that we're not going to hold on to all of the shoppers we recruited into convenience stores during lockdown. But if we if we can get to our benchmark, which is 2019 traffic, and say ‘Okay, we recruited a lot more shoppers through 2020 and into 2021, so if we can come back to a level which is above 2019, then we've held on to a portion of those shoppers.’ And that's what we're trying to do, and in a lot of cases at the minute that is that is what we're seeing.”
It was generally expected that the extraordinary gains made by the convenience channel would not outlast the pandemic period, but it was also hoped that the revelation of how good shopping locally could be, would stay with consumers even after lockdown, expanding the scope and revenue accruing to the channel – perhaps permanently.
“Obviously, a lot of them will go back to supermarkets because the reason they went into convenience stores was because it was a pretty hideous shopping experience in supermarkets under lockdown and it was a lot nicer to go to a decent convenience store and buy your take-home products there,” Phil says. But at the same time something really has changed.
“What we're beginning to see is that the line is coming down, and it's settling above 2019 in convenience.” Hurrah!
“The way we're looking at it,” he says hastily, “there's a big question over what will happen in 2022. When the pubs reopened, hospitality, etc, where was all that volume that people were drinking at home going to go? Was that going to go back into restaurants and pubs again?”
As Phil says, the data is still coming in, and we are in a period of flux and readjustment. But it looks as if to an extent home entertaining is persistent, helped by staycations and an economic squeeze, meaning that the shrinkage in the on-trade is partially permanent, and the expansion in convenience likewise.
“We're finding that actually, in aggregate, the volumes versus historical norms across both channels, when you add them together, is very strong. And we’re all going to have a big Christmas because we didn't have one last year. So, we're thinking that that strong demand signal in aggregate, however it comes out between grocery and the out-of-home channels, will be strong right the way through to the end of December.”
Happy sugar-free New Year
Shortages, rising prices, squeezed incomes – a cold new year beckons for many, in more ways than one. But soft drinks – as an inexpensive treat – can prove a counter-cyclical success story if merchandised correctly.
“The question is about what happens once everyone's had a big Christmas, in January, when the nation sort of pauses for breath,” says Phil.“Will everybody at that point have spent the money that they stored up during lockdown, and have they realised that they need to cut back on the overconsumption? And if so, will things be a bit more normal after that?”
Phil says that Britvic’s motto, “enjoying life's everyday moments,” understands that a soft drink is the last thing to be given up on, and can even benefit from being a cheaper substitute for a more expensive luxury that has been cancelled. He says that the results of the survey bear out this attitude.
“We surveyed convenience shoppers geographically spread across the UK and said okay, what were their intentions in terms of shopping habits now that restrictions are lifted?”
They found that 61 per cent said that they were going to buy more on-the-go soft drinks going forward; 29 per cent said they were already consuming on-the-go soft drinks once a day, and 58 per cent said they were already consuming on-the-go soft drinks once a week. “So it does absolutely appear that the on-the-go market is coming back,” Phil concludes.
Digging further into the data, questions were asked about what sort of drinks people would favour, and the top answer was that 54 per cent said sugar-free carbonates.
“This is the other big dynamic with the on-the-go market that has gone through lockdown: there was a massive trend prior to Covid, accelerated by the sugar levy, towards low-sugar and no-sugar soft drinks,” Phil explains although the drinks that were selling most in on-the-go during lockdown were, paradoxically, full sugar and energy drinks. What was going on?
“When we dug into it, the belief from our Insights Team is it was actually just to do with a demographic of the people that were out there consuming on-the-go soft drinks: it was a lot of delivery drivers, a lot of builders, gardeners, etc, who were still out and about during lockdown.You're doing home improvements, delivering Amazon packages, or whatever – those are the type of people or type of jobs where, frankly, you do need a bit of an energy hit or a sugar boost.”
So, mystery solved: it wasn't people who were no-sugar drinkers before suddenly changing their consumption habits. “It was just the nature of the people that were out there. And what this research would say, and what our belief is, is that actually that trend towards no-sugar drinks will continue as we come out of lockdown, and hence things like Pepsi Max Tango sugar-free and sugar-free Seven Up will come back on the trajectory that they were on before.”
So think carefully about stocking up with more low and zero drinks, and also realise that meal deals, dinner-tonight deals and combined on-the-go buys are on the increase.
“The ‘with lunch’ bit is the other thing,” stresses Phil.“Again, for your readers, I suppose you'd say the thing with hanging on to the take-home shoppers, one of the things that they can do to help with that, is to offer meal-for-tonight solutions. The other thing that will return is naturally the lunchtime meal-deal – sandwich, packet of crisps and a drink, which has largely dried up through lockdown.”
He recommends retailers “re-bias your lockdown-biased range away from take-home packs and back to single serves. I know it was big packs then because I was out and about in convenience stores that were selling 24-pack cans of beer and soft drinks – that was just unheard of previously, and they were selling really well.”
His other recommendation is to replace the big packs with more range and variety – the many colours and flavours that are the lifeblood of vibrant impulse buys.
“So think about the sugar, no-sugar balance. If people have rationalised ranges through lockdown, then bringing things about like a range of flavours with brands like Pepsi Max, Cherry, Pepsi Max Raspberry, Pepsi Max Lime – those sorts of thing will keep people interested.”
It’s incredibly incremental
There is also the K-shaped recovery to think about – the phenomenon of some consumers looking to save money while others are premiumising like mad (though perhaps buying less). And there is also the matter of enticing customers with NPD and PMP.
“There'll be people out there who are looking for premium and there will be people out there who are looking for value,” Phil agrees.“You should be catering to both of those groups. NPD is the other one: [during lockdown] a lot of producers shut up shop, a lot of brands shut up shop, as we did to an extent, and just focused on pumping out what we're selling. But NPD is a huge thing in soft drinks. We launched Tango Dark Berry and that's been absolutely flying and it will come back and do very well, I’m sure. The Rockstar energy brand that we're doing for PepsiCo now – we're launching a no-sugar version of that. Just bringing those things back in again and getting them on the shelf so that there's definitely a ranging bit.”
And value? “Value is the other one, and despite having said that people are looking for premium and NPD, price-marked-packs are clearly a big thing and again during lockdown I know a number of manufacturers cut PMPs back in order to get their production pumping on core lines that were selling. But we flipped our no-sugar 500ml range over to a £1 PMP as we came out of lockdown because we think there's a group of people out there who will want a £1 value pack offering value, and that's flying very nicely as well.”
These are hints of what 2022 is going to be like: new products and a brighter, wider shelf style, interspaced with a lot of PMP deals encouraging baseline purchases to lift average revenue and overall sales. The £1 PMP seems to be the charm across categories at the moment: crisps have certainly found a £1 sweet spot. Is this re-diversification of ranging being hampered by delivery supply problems?
“Yeah it is,” laughs Phil. “I mean, honestly, it's going to be a plague of locusts next is what it feels like. It's just wave after wave of challenge. The answer is that there's no lack of production, the stock is there, but yes, we have been hit by what we can get out.
“What people are ordering we are delivering as best we can. It is getting a bit better but we did have a period where we just weren't been able to deliver everything, even though the underlying demand is there. We just haven't been able to deliver everything that people are ordering.”
On the basis that you can only sell what you can get, what is the merchandising outlook into the Christmas season?
“Certainly, if you look at our service level into the wholesalers, and then the service level into the stores, some of the retailers have suffered on that final leg pretty badly. I've got to say so,” he says.
“What we've said to people is we'll allocate numbers of loads to retailers,” Phil explains. “We'll say, look Mr. Retailer, you normally order four trucks, we can give you three, let's manage those three and fill them right up with everything that you need, as best you can. And then the following week, we'll come back and review whether we can give you four the following week.”
Most things are now getting through and the situation is improving, he says.
“It's been a collaborative approach and I think we're in a great industry where every crisis that comes along, we work together well between the customers, and this has been another really good example of that.”
So from a merchandising point of view, Phil says to make sure to focus on the fundamentals: “If you've got product in the store, make sure it's chilled, especially the on-the-go stuff – concentrate on your customer service. Soft drinks is a very impulsive category so there's hot spots in the stores which are right for displays, and any promotions should be well featured,” he advises.
“The other one that's we're seeing a lot more of, is the shopper marketing side of it, making sure that that meal deals are well featured, seasonal events are well featured – Halloween, Diwali, Christmas – and use of POS and social media as well. It’s all about trying to get that excitement back up again, because it's a fun category that people will respond to.”
I return to the point that even though the massive lockdown sales-spike in convenience has receded, there does seem to be a large remnant of extra sales and new customers in the channel.
“What is definitely happening about working from home is commuters not going into the city centres so much, meaning the opportunity is there for a lot more soft drinks sales in suburban and village locations than pre pandemic. There are retailers out there who before would have said, ‘I'm not going to get that lunchtime visit,’ who will now be getting those visits because of home working.”
So all in all, a difficult period over and an uncertain one beginning – but the outlook is promising and the research backs it up.
“I remember early in lockdown,” Phil sums up,“I think it was a Costcutter I was talking to at the time, and they were saying they'd recruited a lot of take-home shoppers during lockdown who were using them as a lifeline. And they said, what we want to do is keep those shoppers as lifetime shoppers. So, from lifeline to lifetime, and I thought that summed it up really nicely.”
Bursting with customers one afternoon the week before Christmas, a second-hand charity shop in London's Marylebone High Street looked even busier than the upscale retailers surrounding it.
One man grabbed two puzzle sets and a giant plush toy as a present for friends, another picked out a notebook for his wife.
“Since the end of September, we've seen a huge uplift in people coming to our shops and shopping pre-loved,” said Ollie Mead, who oversees the shop displays - currently glittering with Christmas decorations - for Oxfam charity stores around London.
At the chain of second-hand stores run by the British charity, shoppers can find used, or "pre-loved", toys, books, bric-a-brac and clothes for a fraction of the price of new items.
Popular for personal shopping, charity stores and online second-hand retailers are seeing an unlikely surge in interest for Christmas gifts, a time of year often criticised for promoting consumerism and generating waste.
A report last month by second-hand retail platform Vinted and consultants RetailEconomics found UK customers were set to spend £2 billion on second-hand Christmas gifts this year, around 10 per cent of the £20 billion Christmas gift market.
A woman browses some of the Christmas gift ideas in a store on December 13, 2024 in London, England. Photo by Leon Neal/Getty Images
In an Oxfam survey last year, 33 per cent were going to buy second-hand gifts for Christmas, up from 25 percent in 2021.
“This shift is evident on Vinted,” Adam Jay, Vinted's marketplace CEO, told AFP.
“We've observed an increase in UK members searching for 'gift' between October and December compared to the same period last year.”
According to Mead, who has gifted second-hand items for the last three Christmas seasons, sustainability concerns and cost-of-living pressures are “huge factors”.
Skimming the racks at the central London store, doctor Ed Burdett found a keychain and notebook for his wife.
“We're saving up at the moment, and she likes to give things another life. So it'll be the perfect thing for her,” Burdett, 50, told AFP.
“It's nice to spend less, and to know that it goes to a good place rather than to a high street shop.”
'Quirky, weird
Wayne Hemingway, designer and co-founder of Charity Super.Mkt, a brand which aims to put charity shops in empty shopping centres and high street spaces, has himself given second-hand Christmas gifts for “many, many years”.
“When I first started doing it, it was classed as quirky and weird,” he said, adding it was now going more “mainstream”.
Similarly, when he first started selling second-hand clothes over 40 years ago, “at Christmas your sales always nosedive(d) because everybody wanted new”.
Now, however, “we are seeing an increase at Christmas sales just like a new shop would”, Hemingway told AFP.
“Last weekend sales were crazy, the shop was mobbed,” he said, adding all his stores had seen a 20-percent higher than expected rise in sales in the weeks before Christmas.
“Things are changing for the better... It's gone from second-hand not being what you do at Christmas, to part of what you do.”
Young people are driving the trend by making more conscious fashion choices, and with a commitment to a “circular economy” and to “the idea of giving back (in) a society that is being more generous and fair,” he said.
At the store till, 56-year-old Jennifer Odibo was unconvinced.
Buying herself a striking orange jacket, she said she “loves vintage”.
But for most people, she confessed she would not get a used gift. “Christmas is special, it needs to be something they would cherish, something new,” said Odibo.
“For Christmas, I'll go and buy something nice, either at Selfridges or Fenwick,” she added, listing two iconic British department stores.
Hemingway conceded some shoppers “feel that people expect something new” at Christmas.
“We're on a journey. The world is on a journey, but it's got a long way to go,” he added.
According to Tetyana Solovey, a sociology researcher at the University of Manchester, “for some people, it could be a bit weird to celebrate it (Christmas) with reusing.”
“But it could be a shift in consciousness if we might be able to celebrate the new year by giving a second life to something,” Solovey told AFP.
“That could be a very sustainable approach to Christmas, which I think is quite wonderful.”
Lancashire Mind’s 11th Mental Elf fun run was its biggest and best yet – a sell-out event with more than 400 people running and walking in aid of the mental charity, plus dozens more volunteering to make the day a huge success.
The winter sun shone on Worden Park in Leyland as families gathered for either a 5K course, a 2K run, or a Challenge Yours’Elf distance which saw many people running 10K with the usual running gear replaced with jazzy elf leggings, tinsel and Christmas hats.
And now the pennies have been counted, Lancashire Mind has announced that the event raised a fantastic £17,000.
This amount of money allows Lancashire Mind to deliver, for example, its 10-week Bounce Forward resilience programme in eight schools, reaching more than 240 children with skills and strategies that they can carry with them throughout their lives, making them more likely to ‘bounce forward’ through tough times.
The event was headline sponsored by SPAR for a third year through its association with James Hall & Co. Ltd, SPAR UK’s primary retailer, wholesaler, and distributor for the North of England.
“On behalf of the entire team at Lancashire Mind, we want to extend a heartfelt thank you to the 400+ incredible participants who joined us for Mental Elf 2024!” said Organiser Nicola Tomkins, Community and Events Fundraiser at Lancashire Mind.
“Your support, energy and commitment to raising awareness for mental health makes all the difference. Together, we've taken another important step towards breaking the stigma around mental health and promoting wellbeing for all in our community. We couldn't have done it without you!”
Worden Hall became the hub of the event where people could enjoy music from the Worldwise Samba Drummers and BBC stars Jasmine and Gabriella T, plus lots of family friendly activities and a chance to meet Father Christmas. Pets also got in on the act in the best dressed dog competition.
Lancashire Mind CEO David Dunwell said: “It was heart-warming day, full of community spirit and festive cheer, but with a serious aim to raise funds for mental health.
“We are so grateful to everyone who bought a ticket and fundraised or donated to help us smash our target. The money raised goes directly to supporting Lancashire Mind’s life-changing mental health services. These funds help provide wellbeing coaching, support groups, and educational programmes to individuals and families in need of mental health support in our community.”
The concept of Mental Elf was created by Lancashire Mind and news of the event has spread right across the country in recent years, with around 40 other local Mind charities hosting a similar event in 2024.
Lancashire schools were also encouraged to host their own Mental Elf-themed event this year, whether that was a run, bake sale or dress up day, and raised more than £1,000 in total.
Philippa Harrington, Marketing Manager at James Hall & Co. Ltd, said: “There was a lovely festive feel in the air at Mental Elf and we were delighted to see even more individuals, families, and canine companions taking part in its new home of Worden Park.
“We are also very pleased to see the uptake that Mental Elf has had in schools, and congratulations go to the Lancashire Mind team for taking it to new participants and for raising a fantastic amount of money for an important cause.”
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A woman walks past a window display promoting an ongoing sale, on December 13, 2024 in London, England.
UK retail sales rose less than expected in the runup to Christmas, according to official data Friday that deals a fresh blow to government hopes of growing the economy.
Separate figures revealed a temporary reprieve for prime minister Keir Starmer, however, as public borrowing fell sharply in November.
The updates follow news this week of higher inflation in Britain - an outcome that caused the Bank of England on Thursday to leave interest rates unchanged.
Retail sales by volume grew 0.2 per cent in November after a drop of 0.7 per cent in October, the Office for National Statistics said Friday.
That was less than analysts' consensus for a 0.5-percent gain.
"It is critical delayed spending materialises this Christmas to mitigate the poor start to retail's all-important festive season," noted Nicholas Found, senior consultant at Retail Economics.
"However, cautiousness lingers, slowing momentum in the economy. Households continue to adjust to higher prices (and) elevated interest rates."
He added that consumers were focused on buying "carefully timed promotions and essentials, while deferring bigger purchases".
The ONS reported that supermarkets benefited from higher food sales.
"Clothing stores sales dipped sharply once again, as retailers reported tough trading conditions," said Hannah Finselbach, senior statistician at the ONS.
Retail sales rose 0.2% in November 2024, following a fall of 0.7% in October 2024.
Growth in supermarkets and other non-food stores was partly offset by a fall in clothing retailers.
The Labour government's net borrowing meanwhile dropped to £11.2 billion last month, the lowest November figure in three years on higher tax receipts and lower debt-interest, the ONS added.
The figure had been £18.2 billion in October.
"Borrowing remains subject to upside risks... due to sticky interest rates, driven by markets repricing for fewer cuts in 2025," forecast Elliott Jordan-Doak, senior UK economist at Pantheon Macroeconomics.
Jacqui Baker, head of retail at RSM UK and chair of ICAEW’s Retail Group, commented that the later than usual Black Friday weekend meant November’s retail sales figures saw only a slight uptick as cost-conscious consumers held off to bag a bargain.
“Despite many retailers launching Black Friday offers early, November trade got off to a slow start which dragged on for most of the month. This was driven by clothing which fell to its lowest level since January 2022. The only saving grace was half-term and Halloween spending helped to slightly offset disappointing sales throughout November,” Baker said.
“As consumer confidence continues to build and shoppers return to the high street, this should translate into more retail spending next year. However, there are big challenges coming down the track for the sector, so retailers will be banking on a consumer-led recovery to come to fruition so they can combat a surge in costs.”
Thomas Pugh, economist at RSM UK, added: “The tick up in retail sales volumes in November suggests that the stagnation which has gripped the UK economy since the summer continued into the final months of the year.
“While the recent strong pay growth numbers may make the Bank of England uncomfortable, it means that real incomes are growing at just under 3 per cent, which suggests consumer spending should gradually rise next year. However, consumers remain extremely cautious. The very sharp drop in clothing sales in particular could suggest that consumers are cutting back on non-essential purchases.
“We still expect a rise in consumer spending next year, due to strong wage growth and a gradual decline in the saving rate, to help drive an acceleration in GDP growth. But the risks are clearly building that cautious consumers choose to save rather than spend increases in income, raising the risk of weaker growth continuing through the first half of next year.”
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Presidents Sybren Attema, FrieslandCampina, and Betty Eekchaut, Milcobel
Dutch dairy collective FrieslandCampina has agreed to merge with smaller Belgian rival Milcobel, creating a leading dairy cooperative.
FrieslandCampina, whose brands include Yazoo and Chocomel, said the merger will provide the foundation for a future-oriented organisation that has dairy front and centre for member dairy farmers, employees, consumers, and customers.
The proposed merger is subject to approval by FrieslandCampina’s members’ council, Milcobel’s extraordinary meeting of shareholders, and antitrust authorities. The companies said member dairy farmers, employees, works councils and trade unions have been informed about the merger proposal.
Both companies, owned by dairy farmers for many generations, complement each other well in market positions and product portfolios. The merger offers further business development opportunities in market segments such as consumer cheese, mozzarella, white dairy products (such as milk, buttermilk, and yoghurt), and ingredients, as well as benefits in efficiency and expertise, for example in the area of sustainability.
“The combination of FrieslandCampina and Milcobel is bigger than the sum of its parts. It creates a future-oriented, combined dairy cooperative that is resilient and capable of capitalising on opportunities in the dynamic global dairy market,” said Sybren Attema, chair of the board of Zuivelcoöperatie FrieslandCampina.
“This strengthens our appeal to member dairy farmers, business partners and employees. Moreover, this step supports us in realising a leading milk price for our member dairy farmers, now and in the future.”
Betty Eeckhaut, chair of the board of Milcobel, said: “The cooperative philosophy, which is deeply rooted at both Milcobel and FrieslandCampina, is the bedrock for this proposed merger. Our goal remains to create added value for our member dairy farmers.
“Through our regional complementarity we will become the cooperative dairy partner of choice for current and new members, with a solid milk supply for a successful future. For employees, the new organisation provides great opportunities to grow in an international environment. For customers, this merger means more innovation, an expanded product portfolio and further professionalisation of our services.”
Based on the combined 2023 annual figures of FrieslandCampina and Milcobel - excluding Milcobel's Ysco business, which is in the process of being divested - the new, combined organisation has a pro forma revenue of more than €14 billion (£11.6bn) , operates in 30 countries, employs nearly 22,000 staff worldwide, and processes a total volume of approximately 10 billion kilograms of milk.
The boards of the cooperatives and executive management of the two parties have signed a framework agreement regarding the proposed merger. The companies aim to finalise a detailed merger proposal in the first half of 2025, which will then be discussed with the members of FrieslandCampina and the shareholders of Milcobel.
The UK government has pledged stronger measures to combat anti-social behaviour and shoplifting, which it acknowledges as serious crimes that disrupt communities and harm businesses.
Addressing a House of Lords debate on Monday, Home Office minister Lord Hanson detailed plans to abolish the controversial £200 shoplifting threshold and to introduce a new offence for assaults on retail workers.
“Anti-social behaviour and shop theft are not minor crimes. They cause disruption in our communities,” Lord Hanson stated.
“Shop theft in particular costs retailers across the nation millions of pounds, which is passed on to us as customers, and it is not acceptable. That is why, on shop theft, we are going to end the £200 effective immunity. For shop workers, we will protect them by introducing a new offence, because they are very often upholding the law in their shops on alcohol, tobacco and other sales.”
He also emphasised the government’s commitment to restoring visible neighbourhood policing, with 13,000 additional officers and Police Community Support Officers (PCSOs) planned, as well as piloting new “respect orders” to ban repeat offenders from town centres.
Later on Wednesday, the home secretary announced a £1 billion funding boost for police across England and Wales to restore neighbourhood policing. The money will include new funding of £100 million to kickstart the recruitment of 13,000 additional neighbourhood officers, community support officers and special constables.
The debate was initiated by Labour peer Baroness Ayesha Hazarika, who painted a vivid picture of the toll anti-social behaviour takes on workers and communities. “Many people who work in shops feel like they are living in a war zone,” she said. “Anti-social behaviour can so often be the canary down the coal mine and tell a wider story about what kind of society we are living in.”
Baroness Hazarika also urged the use of technology such as facial recognition to target hardened criminals responsible for terrorising shops and local residents.
Lord Hanson agreed, adding that the government is equipping police with the resources to better address persistent offenders, including funding initiatives like Operation Pegasus, which targets organised retail crime.
Retail trade union Usdaw has welcomed the Lords debate tackling anti-social behaviour and shoplifting.
“We very much welcome that Baroness Hazarika has raised this hugely important issue for our members. It is shocking that over two-thirds of our members working in retail are suffering abuse from customers, with far too many experiencing threats and violence,” Paddy Lillis, Usdaw general secretary, said.
“After 14 years of successive Tory governments not delivering the change we need on retail crime, we are pleased that the new Labour government announced a Crime and Policing Bill in the King’s Speech and all the measures that it contains, as set out by Lord Hanson.
“The chancellor announced in the Budget funding to tackle the organised criminals responsible for the increase in shoplifting, and the government has promised more uniformed officer patrols in shopping areas. It is our hope that these new measures will help give shop workers the respect they deserve.”