Record January retail growth

Retailers recorded the strongest sales growth in three years this January, according to a report by the British Retail Consortium. Consumer spending increased 5.2 percent compared with last year. The BRC's like-for-like index, which excludes the effects of shops opened within the last year, rose 3.1 percent. Individual stores also experienced growth. However, the BRC also said that although the sales attracted more customers, the discounts affected margins adversely and weakened clothing sales. Furthermore, BRC director general Kevin Hawkins warned that much of the growth recorded was in groceries, with many shops in other sectors forced to discount.

This BRC survey does not distinguish between higher prices and rising sales volumes, therefore making it impossible to record retailers' prices rises.

www.brc.org.uk
6 February 2007

BRC warns of fragile consumer confidence

The British Retail Consortium (BRC) will warn this week that consumer confidence remains fragile, despite a small increase in high street sales last month. The BRC's monthly sales monitor is expected to show like-for-like sales in August rose by about 1.5 per cent on the same period last year, driven mainly by a strong performance from the major supermarkets.

But it will claim that August 2005 was a bad month for retailers, and warn the rise - which follows a bumper month for high street sales in July - should not be interpreted as a sign that further interest rate rises are needed. The Bank of England raised rates by a quarter-point to 4.75 per cent last month. That reversed a cut made a year previously, surprising many observers.

The uplift in August sales follows an encouraging performance in July, when exceptionally hot weather led to a significant jump in sales of alcohol and summer clothing. Like-for-like sales on the high street rose by more than 3 per cent that month, despite the sweltering heat, according to the BRC. That followed a rise of more than 2 per cent in June.

www.brc.org.uk
4 September 2006

BRC to host retail crime conference

The British Retail Consortium has announced that its 2005 Retail Crime and Security Conference will be held on the 19 October at the Victoria Park Plaza in London . The BRC's Retail Crime Survey, the most authoritative survey on business crime in the UK , will be launched at the conference.

The theme for this year's conference, is “Where next for retail crime?” with a strong emphasis on how technology can be integrated into retailers crime reduction strategies. The conference is a real opportunity for retailers, security experts, human resources and loss prevention professionals to join together and explore new ways of combating the serious problem of retail crime. There will be presentations from a Government minister and industry specialists as well practical examples of how others are attempting to reduce retail crime.

The 12th BRC Retail Crime Survey, covering 2004/05, will set out the costs of crime and crime prevention, losses from staff and customer theft, robberies and criminal damage and the volume of incidents such as violence against staff and till snatches. Last year's survey showed crime cost the industry £1.96 billion in 2003 and levels of violence against staff soared. BRC Director General, Kevin Hawkins, said: “The BRC crime conference is a line.”

24 August 2005

Britain goes Lithuanian

Designers Alistair Carr and Jean-Pierre Braganza have been selected by the British Council to represent British fashion at a festival in Lithuania later this month. The event at which they will be showing their autumn/winter 2005/6 collections is to take place at the Contemporary Art Centre in Vilnius, the capital of Lithuania. The festival, which lasts two days, has been described as the country's biggest fashion festival ever.

The organisers chose Carr and Braganza because they are "two of the UK's most promising young designers, whose work demonstrates both the creativity and individuality that British fashion design has built its reputation on." Braganza said: " I am delighted to have been chosen."

Braganza debuted in February 2004, while Carr - a Central Saint Martin's graduate - made his Fashion Week debut in September 2003 as part of the Centre For Fashion Enterprise group show. The Lithuanian event takes place on 18 and 19 March.

7 March 2005

BRC Announce Fall In Sales

Shop sales fell for the first time in almost a year last month, the British Retail Consortium said yesterday, in data which appeared to back forecasts of an unhappy Christmas from retailers such as Dixons. The BRC said shop sales slid 0.2% in November from a year earlier on a like-for-like basis, the first fall since December last year. Total sales, which include extra floor space that shops have added, were up 2.4% but that was the lowest since last December.

"The figures provide further proof that rate rises and fears over the housing market, pensions and the economy have created a subdued, cautious mood amongst consumers," said the BRC's director general, Kevin Hawkins. The survey showed that the decline was widespread, with only food and women's clothing and footwear retaining any underlying strength. Its relationship to official retail sales data, however, has not been strong in recent months.

Mr Hawkins said retailers were used to shoppers leaving their Christmas spending to the last minute. "Talk of panic sales is premature and retailers will now wait to see if the mood improves and they can catch up lost ground during December." A separate survey from the Nationwide showed consumer confidence appeared to be holding up well in spite of the interest rate rises this year.

7 December 2004

Ashley NA to buy US Antiqua Enterprices

Ashley NA LLC has bought a controlling stake in US casualwear and sportwear company Antiqua Enterprises for USD 10.2m (GBP 6.5m). Ashley NA, which is owned by British sporting goods chain Sports Soccer, said it will buy 27.2 million common and 5.2 preferred shares. The deal is still to be approved by Antiquea's shareholders.

"This agreement ends a long process of trying to find the right transaction for Antigua to resolve its balance sheet issues and return its focus to increasing profits," Antigua's CEO Benjamin Adams said. The company will use the proceeds from the sale to repay its outstanding debt.

Antigua will obtain licences for sportswear brand Donnay for the US, Canada and Puerto Rico if the takeover is successful. As part of the agreement, the Antigua brand will also be sold in Sports Soccer stores in the UK. Antigua has some 200 employees and produces in 13 countries worldwide.

March 18, 2003

High street prices continue to drop

The BRC's Shop Price Index indicates that prices on the high street have increased by 0.61% during February 2003, compared with January 2003. This is due to an increase in the price of non-food items and a slight increase in the price of food items.

The BRC measures price-rages on a regular basis and reported that the yearly trend indicates that prices increased by a mere 0.02% in February 2003, when compared with prices in February 2002. The organisation is still worried though. In money-terms, shop prices still remain lower than they were five years ago, the BRC stated, and are well below the RPIX's three-month average between November 2002 and January 2003 of 2.7%.

The BRC's Director General, Bill Moyes, said: "Unless the Chancellor acts in his upcoming Budget to rein in government costs and stimulate consumer demand, the low margins that retailers are having to operate on at the moment will mean a future of job losses and reduced innovation in the retail sector. Static prices combined with low sales growth occurring against a backdrop of ever increasing Government cost is not good for the consumer and not good for the economy."

March 8, 2003

BRC opposes Chancellor's plans

The British Retail Consortium on Wednesday, has warned that the Chancellor's plans for an extension of scope in Stamp Duty will lead to job losses and radically reduce the numbers of retail business start-ups.
The proposed recalculation of Stamp Duty by the Treasury would add up to GBP 1.4 billion in taxes from retailers over the next three years, the BRC calculated. A survey carried out by the organisation showed that its members faced a minimum of 1000% rise in Stamp Duty if plans sitting with Financial Secretary Ruth Kelly MP at the moment get the go ahead in the upcoming Budget.
Bill Moyes, Director General of the BRC, said: "If the Treasury goes ahead with the proposed reform of Stamp Duty, the Chancellor's need to balance the books could have a devastating effect on retail jobs and new business start-ups." He continued: "Modernising an antiquated tax should not mean putting the brakes on the one reliable engine of growth in the UK economy. Suffocating innovation and undermining investment is a strange policy for the Treasury to advocate."

March 6, 2003

BRC announces new chairman

Morton Middleditch, Chairman of Spar, has been appointed as the new Deputy Chairman of the BRC. The British Retail Consortium announced this on Tuesday.
Commenting on Morton's appointment, Chairman of the BRC David Felwick said: "I am delighted that Morton has been appointed to the position of Deputy Chairman and I am looking forward to him making a powerful contribution to the ongoing BRC agenda.
"Morton has been particularly active in lobbying and campaigning for small retail business with Government and has already provided a great service to the retail sector in his role as a Director of the BRC."
Morton joined Spar in 1970 as Assistant Company Secretary before becoming Company Secretary in 1971. He was appointed a Director of Spar in 1979 and served the company in a range of senior positions before becoming Managing Director in 1998 and then Chairman in May 2002. He has served as a Director of the BRC since 1997.

February 27, 2003

"Blue colorant" banned in EU

On Wednesday a new directive entered force banning a particular dye, the "blue colorant".
The directive restricting the use of certain toxic colorants in fabrics will become applicable only as from 30 June 2004.
The EU has identified that certain dyes have a high aquatic toxicity that is not easily degradable and reaches the environment via wastewater. In order to protect the environment, the placing on the market and use of the blue colorant must be prohibited for colouring textiles and leather articles.
Directive 2003/3/EC has been adopted under the framework Community law restricting dangerous substances (76/769/EEC). Indeed, the ban follows that which has already been set down for a number of azodyes in Directive 2002/61/EC, published in September last year.
In short, the new law will ensure that, as from 30 June 2004, the blue colorant may not be placed on the market or used for colouring textile and leather articles as a substance or constituent of preparations in concentrations higher than 0.1% by mass.

For more information: www.tdctrade.com/alert
January 30, 2003

Sustainability congress was 'milestone'

The BRC's second annual Retail Sustainability Conference, sponsored by KPMG, received a report on progress made in sustainable retailing and helped set the agenda for key sustainability issues in 2003 and beyond.
Jonathan Porritt, Chairman, Sustainable Development Commission and Dr. Caroline Jackson MEP, Chair European Parliament Environment Committee joined retailers, policy makers and environmental professionals this week in assessing the success of the cross-sectoral strategy approach in delivering deliver tangible benefits.
Nigel Smith, Director of Corporate Social Responsibility at the BRC said: "The conference was a real milestone. It was gratifying to be able to say that retailers and our partners in delivery have been able to make good on the promises made a year ago. Sustainability in the retail sector has moved beyond words into action."
The conference provided the opportunity to review the European agenda driving many sustainability issues. Dr Caroline Jackson, MEP, Chair Environment Committee, European Parliament told the conference: "One very important aspect of the debate on sustainability is the lack of any orderly appreciation, in the Council, Commission or European Parliament on the impact directives on those who have to operate within its bounds and who have to pay for it."

November 21, 2002
www.brc.org.uk

BRC welcomes Queen’s Speech

The Queen’s Speech to Parliament this week offered a lot of encouragement to retailers according to the British Retail Consortium. Particularly in the drive to tackle crime, and retail crime in particular, but the absence of a payments regulator (PayCom), is extremely disappointing, the BRC said in a press-release.

Bill Moyes, Director General of the British Retail Consortium said, “We welcome the Government’s focus on tackling youth crime. Stealing from shops is often the gateway into adult crime. Retail crime cost the sector GBP 2.4 billion last year, with more than 50% of those arrested stealing to fund a drug habit.

“We welcome the stronger enforcement of anti-social behaviour orders. Where we have crime reduction partnerships they have been used by the police with significant impact. The Government should extend these partnerships and extend funding of crime reduction measures to more SME retailers.

“The reform of licensing laws and the abolishment of pub ‘fixed opening hours’ is welcome as it will help tackle alcohol related anti-social behaviour, particularly around current closing times when retailers are open and staff face possible physical and verbal abuse. It will end the nonsense of refusing alcohol sales during certain trading hours. We will work hard to ensure this works for retailers.

“All of these measures are welcome, but we are disappointed that there is no scope for the establishment of a payments regulator as set out in the Cruickshank Report into UK Banking, especially given the Chancellor’s commitment to introduce it two years ago. The Report said it was possible to cut the value of interchange fees valued at over GBP 750bn in half – something of real benefit to business and consumers. It seems the Governments’ commitment to making markets work better doesn’t apply to the banks”.

November 15, 2002

BRC holds second Sustainability Conference

One year on from the launch of its innovative sectoral sustainability strategy, the BRC has promised the delivery of tangible benefits at the second annual Retail Sustainability Conference, setting the agenda in this sectoral approach addressing key sustainability issues.

Jonathan Porritt, Chairman, Sustainable Development Commission and Dr. Caroline Jackson MEP, Chair European Parliament Environment Committee joined retailers, policy makers, environmental professionals and interested groups who had a chance to find out if this cross-sectoral strategy approach helping to deliver tangible benefits at the second BRC Annual Retail Sustainability Conference this week.

Nigel Smith, Director of Corporate Social Responsibility at the BRC said beforehand: "The conference provides the perfect opportunity to give a progress report on how the sector is performing against the sustainability strategy we launched last year. This will also help set the agenda for our work in the coming years.

"There will be no 'greenwash'. Last years' document has evolved and this conference will not only focus on the key deliverables but hear from retailers on issues relating to 'retail innovation' and 'supply chain initiatives', while identifying future sector challenges and the shape of European legislation impacting the sector."

During the conference KPMG launched its briefing paper on its extensive sustainability reporting survey. The document highlighted how the Retail sector's sustainability reporting practices compare amongst other sectors and discusses key learning points from leading companies on how to develop value adding and credible reporting frameworks.

November 14, 2002

Prices rose in September

The Shop Price Index of the British Retail Consortium shows that prices on a range of commonly bought goods have increased by 1.17% during September 2002, compared with August 2002. This is mainly due to the introduction of new season stock in the non-food sector, signalling an end to the summer sales. As a result prices of both womenswear and menswear rose in September, although compared to a year ago clothes prices remain down.

The yearly trend showed that prices were up by 1.02% this September when compared with prices in September 2001. BRC's Director General, Bill Moyes, said: "Despite the increased pressure coming from the retail cost base, the sector's efficiency combined with intense competition continues to insulate the consumer from the inflationary elements they may be experiencing elsewhere. When it comes to the high street, both consumers and the Bank of England will find nothing troubling in these figures. "

Easing of high street inflation that was seen in August failed to continue into September. Overall the Shop Price Index shows that prices were up 1.02% compared with a year ago.

October 4, 2002

Boosted retail sales in August

Steady growth of sales in the clothing sector boosted retail sales in August reported the British Retail Consortium this week. In her sector performance account the Consortium reported that sales of the new autumn stock range were favoured over left over summer stock. Womens smart coats and jackets sold most impressively. Menswear performed steadily with most growth coming from formal and short-sleeved shirts. Childrenswear enjoyed excellent trading as parents prepare for going back to school.

The BRC revealed a 4.8 per cent year-on-year jump in like-for-like August sales. The trade group said total sales rose 7.6 per cent last month from 2001, up from 6.5 per cent in July.

The BRC warned that retailers should not be too enthusiastic, BRC chief economic adviser, Bridget Rosewell,said: "We remain concerned about the potential for a sharper slowdown and a loss of confidence by consumers which could easily produce a very difficult time for retailers".

August proved to be a very disappointing month for home shopping retailers. Overall sales showed a decline in all areas. Womenswear recorded a double-digit fall in sales - menswear was slightly better. Footwear unit sales were up although total value was down, which was boosted by aggressive end of season discounting.

09-11-02