This year’s challenging budget introduces significant cost increases for independent retailers, wholesalers, and suppliers, placing substantial pressure on the sector. Convenience stores, in particular, will face the dual challenge of remaining competitive while continuing to deliver a quality service in their local communities.
Key factors driving these pressures include changes to rate relief, increases in the percentage and threshold for National Insurance (NI) employer contributions, and the rising minimum wage. Additionally, two impending parliamentary bills on Employment Rights and Tobacco and Vapes are set to further impact businesses across the industry.
Looking ahead, the proposed changes to the inheritance tax regime, set to take effect in April 2026, will pose a major challenge for many family-owned businesses, particularly in their succession planning.
We strongly encourage retailers to engage with their local MPs, inviting them to visit stores and gain firsthand insight into the challenges facing independent convenience retailing. As elected officials representing their constituencies, MPs play a vital role in addressing these concerns and advocating for solutions within the government.
Despite these budgetary pressures, we continue to demonstrate remarkable resilience and innovation. As a symbol group, we are more determined than ever to remain agile and competitive.
As 2025 approaches, our strategy remains centred on leveraging the strength of our Spar family network. Through collaboration, innovation, shared insights, and strategic guidance, we aim to ensure continued success and growth.
While challenges persist, the evolving market landscape offers exciting opportunities for growth and innovation. Consumer demand for convenience, affordability, and quality has never been greater, providing forward thinking retailers with a unique opportunity to lead the way in emerging trends and digital transformation.
We continue our retailer recruitment drive to attract high-quality retailers while expanding our flagship store programme to deliver the best possible store propositions. Additionally, we are focused on advancing our ‘food for now’ and ‘food for later’ missions, catering to the evolving needs of shoppers seeking convenient meal solutions, whether fresh, ready-to-eat options or quality ingredients to prepare at home.
Exciting new promotional campaigns will launch in stores to attract value-conscious shoppers, complemented by the introduction of Spar’s latest own-label products and exclusive NPD lines.
As we move into the next year, we remain steadfast in our mission to excel in what we do best: serving our shoppers with the very best of Spar, while seizing the opportunities that lie ahead to drive growth, innovation, and long-term success.
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