Skip to content
Search
AI Powered
Latest Stories

Interest rate hike will dampen consumer confidence: BIRA

Interest rate hike will dampen consumer confidence: BIRA
The Bank of England on Thursday hiked its interest rate 0.75 percentage points, the biggest increase in 33 years, to fight inflation set to peak around 11 percent in recession-hit Britain. (Photo by TOBY MELVILLE/POOL/AFP via Getty Images)
POOL/AFP via Getty Images

The latest interest rate rise – the biggest increased in more than three decades – will dampen consumer confidence, British Independent Retailers Association (BIRA) has warned reacting to the announcements made by Bank of England today (3).

The Bank of England has raised the base rate of interest by 0.75 per cent points and has said that the UK is already in recession. The Bank has also warned that the country could face a protracted contraction in the coming years, with high inflation. The unemployment rate is also climbing to 6.5 per cent which is also the highest since the financial crisis.


"As expected interest rates have increased and this continues the current trend for negative news for consumers and businesses alike," said Andrew Goodacre, CEO of BIRA. "This latest increase will further dampen consumer confidence and reduce spending at the busiest time of year for retailers."When the Chancellor delivers his Autumn statement on 17 November, we must see some positive news for independent retailers who are increasingly concerned about the future of their business and the communities they serve.

"I do not doubt the challenges faced by the Chancellor and yet we cannot afford to increase the burden on high street retailers. Independent retailers need assurance that business rates will not be increased and energy support will still be in place next year."

More for you

Independent retailers face mixed outlook for 2025 – Bira
iStock

Independent retailers face mixed outlook for 2025 – Bira

Independent retailers have weathered one of their most challenging years in 2024, with multiple headwinds affecting the sector, according to the British Independent Retailers Association (Bira).

With pressures mounting throughout the year, independent retailers have faced an increasingly difficult trading environment marked by changing consumer behaviour and economic uncertainties.

Keep ReadingShow less
Bottle of Perrier mineral water
Photo: iStock

Nestlé Waters faces Perrier production stoppage over contamination concerns

Nestlé Waters is facing a potential halt to its production of the iconic Perrier mineral water in southern France due to health risks, French media reported.

A confidential report published by French newspaper Le Monde and Radio France revealed that health authorities are recommending a production stoppage due to concerns over the sanitary quality of the water source.

Keep ReadingShow less
Wyn Williams

A screengrab of Post Office Horizon IT Inquiry chair Sir Wyn Williams during the final day of hearing

Post Office Inquiry concludes hearing after three years of testimony

After three years of gathering evidence and hearing harrowing testimonies, the public inquiry into the Post Office Horizon scandal has officially closed its hearing. The final day of closing statements took place on Tuesday (17 December), marking a significant milestone in the fight for justice for hundreds of sub-postmasters wrongly accused of theft and false accounting.

The inquiry, chaired by retired high court judge Sir Wyn Williams, was established in non-statutory form on 29 September 2020 to investigate the failings of the Horizon IT system, developed by Fujitsu, which led to widespread discrepancies in Post Office branch accounts.

Keep ReadingShow less
'Shoplifting worst it has ever been' – The Fed

'Shoplifting worst it has ever been' – The Fed

Fed member and Northern district president Martin Ward recently took to the airwaves to slam the rise in shoplifting saying, “it is an everyday occurrence” and opening his doors on a morning fills him with dread.

On Tuesday morning, December 17, Mr Ward, who owns Cowpen Lane News, in Billingham, joined other concerned members of the public to discuss the damming effects of retail crime with Nicky Campbell on BBC Radio 5 Live.

Keep ReadingShow less
aldi store

Signage is pictured outside an Aldi Local store on Kilburn High Road in London on January 2, 2023

Photo by ISABEL INFANTES/AFP via Getty Images

Aldi pours £650m into UK expansion, targeting 30 new stores in 2025

Aldi Wednesday said it will invest around £650 million across Britain in 2025.

This includes the development of new stores in Fulham Broadway in London, Billericay in Essex, and Cheadle in Stoke-on-Trent, with the supermarket targeting around 30 new store openings in total in 2025.

Keep ReadingShow less