Following on from his uncontested appointment as the leader of the Labour Party last week, MP Andy Burnham has today (20 July) become the fifth UK Prime Minister in five years, after the resignation of Sir Keir Starmer.
In response, senior figures from across the retail sector and associated trade bodies and organisations have issued various statements after the news the former Mayor of Manchester is now running the country.
The Federation of Independent Retailers’ (the Fed) national president, Hemanshu Patel (right), responded to a Convenience Store request for a comment, and said: “The Fed already has a positive relationship with Andy Burnham as we’ve engaged with him in the past about the value of small independent shops as sources of vital goods for customers, employment and tax revenue, and also for them being familiar and friendly faces in the communities they serve.
“Burnham had planned to meet the Fed at one of our members’ businesses in Manchester in September in his previous capacity as Mayor of Manchester. He’s also expressed some support for our agenda, particularly his pledge to act to support small businesses on the high street and deal with rising business rates ills, as he pledged in his speech on 29 June at the People’s History Museum in Manchester.
“Whilst we recognise how many challenges he will need to consider – in a range of areas - we want to continue to engage with him and his government as we’ve done previously and positively on retail crime, as well as other topics like the DRS and rising business costs associated with energy, taxation and assisting our members with compliance in new pieces of legislation.
“We engage with politicians of all political persuasion who are interested in our agenda and we both congratulate him and look forward to working with him and his new team in the future.”
The chief executive of the Associaton of Convenience Stores (ACS), Ed Woodall, was also quick to respond to the news, and said: “We look forward to working with Andy Burnham and his team on the issues that matter to local shops. This is an extremely challenging time for convenience store retailers dealing with a cost of trading crisis, the illicit trade on their doorstep and the impact of retail crime.
“We’re keen to engage with the new Prime Minister on ways to support local shops…”
“We’re keen to engage with the new Prime Minister on ways to support local shops and other businesses trading on our high streets which will enable them to invest in their long term future and continue serving their communities through a diverse range of products and services.
”At the first opportunity we need to see action on business rates, the cost of employment and barriers to investment in our sector.”
Chris Brook-Carter (left), chief executive of the retail industry charity, Retail Trust, also broadly welcomed the news, and said: “Andy Burnham has said he wants to make UK high streets ‘a symbol of Britain’s renaissance’ and provide greater support for the businesses that bring social value to their local communities.
“We fully support his ambitions but any plan to reinvigorate Britain’s high streets must place the nearly three million people who work in retail at its heart, as their collective wellbeing is fundamental to the energy, identity and economic prosperity of our towns and cities.
“There is a plan for the buildings, but there needs to be a plan for the people in them. Retail sites and high streets cannot thrive unless the people in them do.
“Rising costs and unacceptable levels of crime and abuse are currently creating uncertainty and unhappiness across the workforce and this is limiting retailers’ ability to fully invest in the health and wellbeing of their people.
“The retail industry needs decisive leadership and we hope our new Prime Minister listens carefully…”
“The retail industry needs decisive leadership and we hope our new Prime Minister listens carefully to concerns around the burden of business rates and employment costs and also builds on the milestone Crime & Policing Act and the protections this should provide staff.
“Any new retail crime laws must be also accompanied by consistent enforcement and a clear public message that hostility, intimidation and abuse towards shop staff will not be tolerated, such as the Retail Trust’s Let’s Respect Retail campaign.”
Brook-Carter also highlighted the way the UK’s retail workforce remains relevant to the wider economy: “The wellbeing of the entire UK workforce is critical to its economic resilience and productivity, and our charity is ready to work with Andy Burnham, his government and retail employers to ensure his ambitions for the country and its high streets become a reality.”
Meanwhile, Charlotte Broadbent, UK general manager at online wholesale marketplace, Faire, said: “Independent retailers are often the businesses that bring the most character, footfall and prosperity to our high streets, and in a world where so much of daily life happens behind a screen, help make a place feel like somewhere special.
“Business rates have been one of independent retailers’ biggest fixed financial burdens, so we fully welcome any support from our new Prime Minster to help bring them down.
“We’d urge Andy Burnham and local leaders to consider the wider conditions independent shops need to thrive.”
“We’d urge Andy Burnham and local leaders to consider the wider conditions independent shops need to thrive. Whether it be more affordable and accessible parking, stronger support from councils or more investment in town centres, the future success of our high streets will be shaped as much by a strong sense of place as by the costs and strategies of individual businesses.”
Also responding to today’s new appointment, Kathryn Wright (right), COO at loyalty technology platform Antavo, pointed out one of the biggest challenges facing the new PM from day one: “The biggest challenge is rebuilding confidence. There’s a perception among many people that Britain has become harder to build a future in. Changing that narrative won’t happen overnight, but leadership starts by giving people something to believe in.
“If businesses have confidence, they’ll invest. If entrepreneurs have confidence, they’ll build. If consumers have confidence, they’ll spend. That positive cycle has the potential to unlock growth across the entire economy.
On what she would like to see Burnham prioritise in retail, Wright added: “Retail is one sector that will be watching this new government closely, particularly on business rates and the wider cost of operating.
“For many retailers, the bigger day-to-day constraint has been the cost base they’re working against…”
“The cost of living tends to get most of the attention, but for many retailers, the bigger day-to-day constraint has been the cost base they’re working against, and business rates are a significant part of that.
“Retail carries a large share of the overall business rates burden relative to its size, and that comes on top of rising employment costs over the past couple of years. It’s part of why the sector has been shedding jobs rather than adding them, even in towns and high streets that should benefit most from a government focused on growth outside London and the south East.
“If the high street is going to recover, business rates reform will need to be part of that picture. Retailers are more likely to invest in stores, staff and renovation when the underlying cost of operating feels sustainable, and that kind of investment is what regional growth depends on.”
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