High Street pins hopes on Black Friday and Christmas boost after budget crash

Big retailers are pinning their hopes on a boost in Christmas trading after a slump following a dismal budget for the sector.

As shops reel from Rachel Reeves’ decision to saddle the industry with £7bn in extra costs, bumper trading over Black Friday and the festive period is critical this year, experts have warned.

This follows a drop in store footfall in November as customers expected discounts amid post-Budget “spending jitters”.

The sector is bracing for higher costs from next year after the Chancellor increased employers’ national insurance contributions and granted a rise in the minimum wage to combat inflation.

And Reeves has come under pressure to urgently reform business rates to offset other costs after failing to address property tax in her first budget last month.

Major retailers including M&S, John Lewis and Boots have said stores will close, jobs will disappear and prices will rise, an issue that has been highlighted by the Mail’s Save Our High Streets campaign.

In a further blow to the sector, the number of buyers fell 4.5 percent in November, from 1.1 percent in October.

High street shoppers fell by 3.7 per cent, retail parks by 1.1 per cent and shopping centers by 6.1 per cent, according to the British Retail Consortium (BRC).

That creates even more pressure to attract customers during Black Friday and the run-up to Christmas.

Retail consultant Andy Sumpter said: “Store visits are down as consumer confidence remains volatile, perhaps not helped by jitters over post-Budget spending and shoppers holding back on holiday shopping.”

“This lackluster footfall result will have been a blow to many retailers who would have been counting on getting early Christmas trading results under their belt.”

“All eyes turn to December, where retailers hope to make up lost ground and improve their holiday fortunes.”

BRC chief executive Helen Dickinson said: “If the Government wants to drive footfall and the growth and investment that would come with it, it must help retailers mitigate the impact of the £7bn extra costs they will face. starting next year.”