A.F. Blakemore has announced the purchase of online wholesaler and retailer Vegan Store in a move to increase the food distributors range.
Vegan Store is known for their global business stocks in food, drink, healthcare and beauty products and is the UK’s first online independent retailer of vegan products.
The business deal also means the Vegan Store will be an online only division in A.F. Blakemore’s business structure.
Announcing the purchase, group commercial managing director Jerry Marwood, said: “The vegan or vegetarian lifestyle is predicted to be the choice of up to 25% of the British population by 2025.
“By acquiring Vegan Store we are adding a niche brand to our portfolio that we will be able to develop and grow in line with forecasted market growth.
“We now have access to some of the best vegan products in the world, such as Go Max Go candy bars and Vegg, but in addition we can continue to create innovative new product development through Vegan Store’s Golden Crunch brand.
“A.F. Blakemore has innovation at its heart, and throughout the company’s 100-year history, keeping ahead of customer trends and changing consumer behaviour have been central to our success.
“Since its foundation in 2000, Vegan Store has been at the forefront of the vegan revolution and we are delighted to be bringing its product range and ethos into the Blakemore group.”
As part of the agreement, Vegan Store founder Lisa Ruskin will be joining A.F. Blakemore in a consultative role while continuing to support the Vegan Store proposition, bringing her knowledge and expertise to the company.
Marwood added: “The Blakemore group operates across multiple channels, and we are excited to see the benefits that new vegan food and drink will bring to our diverse set of menus and ranges.
“New vegan products will present our SPAR stores, Philpotts stores and partners in retail, wholesale and foodservice with a fantastic opportunity to attract new customers, as well as to provide innovative alternatives for existing ones.”
Multiple convenience stores faced hefty fines last week for trading in illegal cigarettes and e-cigarettes, as enforcement crackdowns highlighted the dangers of illicit tobacco products.
Cases in Stalybridge and London saw store owners and managers penalised for selling counterfeit and unregulated goods, underscoring the ongoing efforts by local councils to protect public health and support legitimate businesses.
According to local reports, a Stalybridge store owner and manager have been ordered to pay over £11,000 after pleading guilty to three charges in relation to the sale and supply of illegal disposable e-cigarettes.
Tameside Magistrates’ Court heard that Tameside Council trading standards officers visited Texaco Caroline Street Service Station, Stalybridge, in June 2023 and seized a quantity of illegal disposable e-cigarettes.
A test purchase of an illegal disposable e-cigarettes was also made from the business.
This resulted in three charges being brought against Usman Patel, of Newstead Drive, Bolton, as the owner of the business and Khalid Muhammed, of Fenton Way, Bolton, as the manager of the business.
Tameside magistrates last week sentenced Patel to a £4,000 fine, and ordered him to pay a £1,600 victim surcharge and £715 costs. Muhammed was sentenced to a £3,200 fine, and ordered to pay a £1,260 victim surcharge and £715 costs.
Tameside Council Executive Member for Environmental Service and Neighbourhoods Cllr Laura Boyle said, “Trade in illicit tobacco and e cigarettes supports crime rings, damages legitimate businesses, undermines public health and facilitates the supply of tobacco to young people.
“This is a great result from court and sends a clear message that we will not tolerate illegal trading in Tameside. Public protection is a priority for us and our officers are proactive in acting on local intelligence and investigating rogue traders to keep our local communities safe as well as to support responsible, local businesses that comply with the law.”
Another convenience store owner in London has also been fined heavily over selling illegal tobacco.
Ottoman Food & Wine on Reede Road, Dagenham was fined for over £5,000 for flogging dodgy tobacco. The store was caught red handed selling 1,880 illegal Benson & Hedges, Kent, Dunhill, Sobranie, and Marlboro cigarettes.
A routine Barking and Dagenham Council inspection uncovered the counterfeit goods after specialist tobacco detection dogs caught the scen.
The business MM & GS Food Ltd (trading as Ottoman Food & Wine) and the director Gokhan Sonmez were hit with a £5,272 fine at Barkingside Magistrates Court. MM & GS Food Ltd T/A Ottoman Food & Wine was fined £732 and ordered to pay costs of £1,611.45.
A victim surcharge was also added of £88. Sonmez was personally fined the same costs.
Councillor Syed Ghani, Cabinet Member for Enforcement and Community Safety said: “We are committed to putting a stop to the selling of illegal tobacco in the borough. These activities jeopardise public health and flout regulations meant to protect consumers."
Valeo Foods Group, one of Europe’s leading producers of quality sweets, treats and snacks, has completed its previously announced acquisition of I.D.C. Holding, a major independent producer of quality wafers, biscuits, confectionary and chocolate in Central and Eastern Europe.
Valeo Foods Group said I.D.C. Holding will be a “transformative addition” to its expanding portfolio of leading food brands that include Rowse, Kettle, Jacob's, Barratt and Balconi, and would form the cornerstone for its operations in the fast-growing Eastern European market.
“We are delighted to complete this acquisition and welcome the team to Valeo Foods Group. The acquisition of I.D.C. Holding introduces complementary brands and opens the door to significantly strengthening our position in the Central and Eastern European market and solidifying our leading position with our international retail partners,” commented Ronald Kers, Valeo Foods Group chief executive.
"We are confident our market strategies will drive profitable growth through enhanced distribution, greater penetration and a cost-efficient supply chain. We expect the strength of our combined organisations to create value for years to come. With I.D.C. Holding joining Valeo Foods Group we can continue to build on our solid foundation underpinned by market leading brands, operational excellence and a strategic focus on becoming the undisputed sweet treats champion of Europe.”
First established over a century ago, I.D.C. Holding is a major manufacturer of high-quality sweets products in Slovakia with a turnover of almost €200 million annually. The portfolio includes traditional and iconic brands such as Horalky, Mila, Lina, Kávenky, Goralki, Moments, Verbena and many others. The group employs more than 1,150 people across three production sites located in Slovakia and three subsidiaries in Czech, Hungary and Poland.
Food inflation remained stable last month though experts are warning that with a series of price pressures on the horizon, shop price deflation is likely to become a thing of the past.
According to figures released by British Retail Consortium (BRC) on Thursday (9), shop price deflation was 1.0 per cent in December, down from deflation of 0.6 per cent in the previous month. This is below the 3-month average rate of -0.8 per cent. Shop price annual growth remained at its lowest rate since August 2021.
Non-Food remained in deflation at -2.4 per cent in December.
Food inflation was unchanged at 1.8 per cent in December. This is in line with the 3-month average rate of 1.8 per cent. The annual rate has eased considerably since the start of the year and inflation remained at its lowest rate since December 2021.
Fresh Food inflation was unchanged in December, at 1.2 per cent. This is slightly above the 3-month average rate of 1.1 per cent. Inflation was its lowest since November 2021.
Ambient Food inflation edged up to 2.8 per cent in December, from 2.7 per cent in November. This is in line with the 3-month average rate of 2.8 per cent and remained at its lowest since February 2022.
Commenting on the figures, Helen Dickinson, Chief Executive of the BRC, said, “Retailers discounted heavily for Black Friday this year as they attempted to make up for weaker sales earlier in the year.
"However, the later Black Friday timing brought many of the non-food discounts into the measurement period, making non-food prices look more deflationary than the underlying trend. With food inflation bottoming out at 1.8%, and many price pressures on the horizon, shop price deflation is likely to become a thing of the past.
“As retailers battle the £7 billion of increased costs in 2025 from the Budget, including higher employer NI, National Living Wage, and new packaging levies, there is little hope of prices going anywhere but up.
"Modelling by the BRC and retail CFOs suggest food prices will rise by an average of 4.2 per cent in the latter half of the year, while Non-food will return firmly to inflation.
"Government can still take steps to mitigate these price pressures, and it must ensure that its proposed reforms to business rates do not result in any stores paying more in rates than they do already.”
Mike Watkins, Head of Retailer and Business Insight, NielsenIQ, added, “During December, shoppers benefited from both lower inflation than last year and bigger discounts as both food and non-food retailers were keen to drive sales after a slow start to the quarter.
"However, higher household costs are unlikely to dissipate anytime soon so retailers will need to carefully manage any inflationary pressure in the months ahead.”
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People walk pass a Christmas tree as they exit a store in Manchester, northern England on December 16, 2024.
Photo by Paul ELLIS / AFP) (Photo by PAUL ELLIS/AFP via Getty Images
Shares in Britain's Marks & Spencer and other retailers fell on Thursday, with £2 billion ($2.45 billion) wiped off the sector, as concern about ebbing consumer confidence and economic weakness overshadowed healthy Christmas trading.
Retailers, already facing weak consumer sentiment, are bracing for higher costs from April, when employer taxes and the minimum wage are set to rise.
The economic outlook has been clouded by a leap in Britain's government borrowing costs in recent days that adds to pressure on government finances and has prompted analyst warnings that further tax rises could be needed.
With inflation also forecast to tick up, retailers anticipate a tough year.
"There is that cautious customer confidence out there," M&S chief executive Stuart Machin told reporters, after announcing the group had delivered the highest food sales over the lucrative Christmas period on the UK high street.
M&S reported above-expectations growth of 8.9 per cent in food sales and 1.9 per cent in clothing, home and beauty sales, but the retailer's shares fell 6.5 per cent. Tesco, the country's biggest supermarket group, posted a 4.1 per cent rise in sales, while its shares traded down 1.3 per cent.
"The year ahead won't be all smooth sailing for the retail giants, as the sector gears up to battle imminent tax hikes," Hargreaves Lansdown equity analyst Matt Britzman said.
While those two retailers were helped by booming grocery sales, other categories struggled.
Growth at food-on-the-go specialist Greggs slowed in the final months of 2024 and discounter B&M posted a fall in underlying sales of 2.8 per cent, sending the stocks down by 10 per cent and 12 per cent respectively.
While retailers fell, Britain's globally focused blue-chip index .FTSE traded higher at 0.5 per cent.
Challenges continue
Greggs Chief Executive Roisin Currie said consumers were cautious about spending.
"It's been a challenging second half in 2024. I think you have to make some assumptions that that continues in 2025," she told Reuters.
Greggs had performed well in recent years as its value sausage rolls and steak bakes gained popularity, but its underlying sales growth fell to 2.5 per cent in the final quarter of 2024, down from 5 per cent in the previous period.
Next, the UK's biggest clothing retailer by market capitalisation, on Tuesday warned sales growth would slow in its 2025/26 year as the impact of the government's tax hike begins to hit employment levels and raise prices.
Ken Murphy, the boss of Tesco, was more sanguine.
Although consumers who "really celebrated over Christmas" would be more value-focused in January, that was always the case at the beginning of the year, he said.
After the pandemic, a supply chain crisis, and high levels of commodity and energy inflation, Murphy said Tesco, which is forecasting 250 million pounds of additional costs from the employer tax hikes, was used to handling rising costs.
Marks & Spencer's chief executive said on Thursday he would work to mitigate higher costs and consumer caution in the months ahead, even after the retailer delivered the best results on the UK high street for the all-important Christmas season.
M&S shares, which have risen more than 30 per cent in the last 12 months, on Thursday fell 5 per cent, despite the better-than-expected 8.9 per cent rise in food sales.
The increase, it said, made it the top performing store-based grocery retailer at Christmas, the most profitable time of year for the sector.
Chief executive Stuart Machin said there was "much within the group's control" to offset headwinds that all retailers face this year, including increases in taxes and wage costs from April.
Already, he said M&S had carried the momentum from a strong trading performance throughout 2024 into Christmas.
"Sales records were broken across the business, with Food recording its biggest day and Clothing, Home & Beauty online its biggest week, but we're not complacent - as a growth business it's our job to break records," he said.
Tesco, Britain's biggest food retailer, reported a 4.1 per cent rise in underlying Christmas sales on Thursday.
Matt Britzman, senior equity analyst at Hargreaves Lansdown, said M&S and Tesco had both pointed to booming food sales.
"But the year ahead won’t be all smooth sailing for the retail giants, as the sector gears up to battle imminent tax hikes," he said.
M&S grew sales in clothing, home and beauty by 1.9 per cent, outperforming a wider market decline, helped by demand for velvet party wear and its best-selling denim and knitwear categories.
The 141-year-old company gained about 0.5 percentage points in clothing, taking its share to around 11 per cent, Machin said.
Analysts had expected the company to report a 7.8 per cent rise in food sales and a 0.7 per cent rise in clothing and home sales for the 13 weeks to Dec. 28, according to a company-compiled consensus.
M&S said in November it expected a £120 million headwind from higher taxes and wage costs from April.