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Decking firm Lakeland Verandahs celebrates Dubai sky pool contract as it plans £1m Middle East push

A decking specialist that’s expanding in the Middle East has completed a project at a Dubai sky pool that regularly attracts world-famous guests. Preston’s Lakeland Verandahs is set to complete 12 projects in its first year in the Middle East and estimates they will generate some £1m. It says negotiations are ongoing with hotels, commercial architects and luxury villa owners. It recently installed 800 sq m of its Solidek product at Aura Skypool in Dubai, which bills itself as the “world's highest 360° infinity pool” and which has attracted guests including Floyd Mayweather and Cristiano Ronaldo. The firm completed the job in three months – even working through the night so as not to impact the venue’s event calendar – and also developed a new “Aura” colour to match the venue’s colour scheme. Lakeland Verandahs employs 40 people across its operations in Preston and Scotland. It was founded by Russell Milburn in 200 and last year saw sales rise to £6m. Mr Milburn said the Middle East was a big potential market for its premium Solidek composite product as conventional hollow wood composite deck board “doesn’t usually fare well in a Middle Eastern climate.” He added: “What we really needed was a high-profile installation and they don’t come much bigger than the Aura Skypool, one of Dubai’s most visited locations and 48 storeys from the ground. “We undertook an amazing amount of due diligence together to showcase our product and why it would work and last better than the previous installation - agreeing to fit-out a dedicated area to provide a free taster of what they could expect.” Once approved, a five-strong team of UK fitters led by Mr Milburn and his son Sam worked with a local installation team to complete the job. Sam Milburn said: “The timings had to be just right to fit in with Aura’s extremely tight events calendar and we even had to overcome some major issues with sea freight, instead switching to transporting 24 tonnes of decking by air. “The hours of planning and the late nights were all worth it and we are justifiably proud to have our Solidek product fitted and performing very well at one the most ‘instagrammable’ locations in the world.” Dean Stuart Jarvis, general manager at Aura Skypool, said: “Being 200 metres above sea level, we have our own microclimate, and we had to make sure that any decking product we chose could withstand the sun, the salt and the chemicals we use in our pool. “Solidek exceeded our expectations, and we were delighted when Lakeland Verandahs agreed to customise our own colour.”

Major tool supplier collapses into administration

A major UK tool and maintenance supplier has fallen into administration and has been put up for sale. Devon-based Troy (UK), which has a workforce of 75, has been put on the market by administrators in an effort to salvage it following its collapse. The company, based at Exeter's Skypark, links suppliers with independent businesses to sell tools and other supplies to end users. Troy supports a network of more than 450 independent members in the tooling and maintenance industry, providing access to more than 460 leading suppliers, as well as product expertise, data services, technology solutions and other business services. Troy’s latest accounts for 2023 depict financial struggles emanating from supply chain disruptions due to the conflict in Ukraine. The company was hit by rampant inflation, rising interest rates, diminishing demand, and eroding consumer confidence – resulting in a loss of £2.746m for the financial year after a £1.083m setback in 2022. Professional services consultancy Alvarez and Marsal has been appointed as administrators, embarking on a sales initiative for the firm and its assets. Joint administrators Paul Berkovi and Mark Firmin have stressed that no immediate job cuts have been made and operations have been temporarily halted as they review the firm's prospects and pursue a "an accelerated sales process". The joint administrators are calling on interested parties to come forward and register their interest in purchasing the business and assets, with the aim of completing a sale as quickly as possible. Mr Berkovi said: "Troy is a trusted national business providing a key strategic service to the engineering and industrial tools market", reports Devon Live. "As joint administrators, our priority is to run a sale process at pace, and we encourage any interested parties to contact us as soon as possible to discuss the opportunity to acquire the business." Established in 1986, Troy UK operates by leveraging its collective buying power to offer discounts to its members on a wide range of products from over 400 suppliers, including cutting and precision engineering tools, hand and power tools, and personal protective equipment. The group also provides its members with access to specialist support and bespoke services, enabling them to compete with larger tool retailers while maintaining their independence and high levels of customer service. Troy UK's expansion has been fuelled by a combination of acquisitions, including the 2017 purchase of THS Group, and organic growth through attracting new members and aiding their development. This strategy has led to increased sales. In 2021, the company unveiled a five-year plan aiming for revenues to reach £500m. Troy reported revenues of £231.344m in 2023 and secured a £15.5m investment from venture capitalist BGF, formerly known as the Business Growth Fund, which acquired a minority stake in the group.

Historic cider maker Thatchers posts record sales after Aldi legal battle win

Family-owned cider maker Thatchers has reported record-breaking sales, surpassing the £200m mark for the first time in its 120-year history. The Somerset-based business, established in 1904, recorded sales of £203.9m for the year ending 31 August, 2024, as reported by City AM. This is a significant increase from the previous financial year's turnover of £175.2m. Since 2018, when it posted a turnover of £99.2m, Thatchers has more than doubled its sales. Recent filings with Companies House reveal that the firm's pre-tax profit marginally increased from £15.6m to £15.8m over the year. Despite absorbing input costs and investing in new production facilities, brands, and personnel, the company's operating profit only rose by 3.4 per cent to £15.6m. The business, currently managed by the fourth generation of the Thatchers family and chaired by Martin Thatcher, continues to face rising costs. A statement approved by the board read: "The cost-of-living crisis has continued to impact consumers and an ongoing trend towards premiumisation has seen budget brands decline, while quality, trusted brands like Thatchers are growing in value and volume, with Thatchers outperforming the category every quarter." However, the company acknowledged that its success has not fully shielded it from recent economic challenges. "Like many companies, Thatchers has been affected by inflationary cost pressures such as rising raw material costs, increasing wage bills and additional taxes. "This has led to significantly reduced margins, however, mindful of the cost-of-living crisis, Thatchers has worked hard to limit the impact on customers, and where possible absorbed a significant proportion of those costs. "Additionally, the predicted increase in cider sales due with the 'summer of sort' was offset by poor weather conditions, with both on and off trade markets feeling the impact. "The cider market saw a lot of change this year, with some producers moving products into the lower ABV [alcohol by volume] tier to maximise on the change in duty, and others running aggressive promotional pricing campaigns. "Thatchers took the decision to simply remain focussed on producing great quality cider." During the year, the company grew its market share by 1.7 per cent, taking its total to 17.2 per cent. It also invested £14m in the 12 months in its cider production facilities and the completion of its automated warehouse system, up from £7m. The company has also committed to spend £24m during its current financial year on products such as a new canning line. During the year dividends of £7m were paid out, the same as in 2023 and 2022, while the average number of people employed by Thatchers increased from 253 to 261. The verdict arrives a month after the Court of Appeal ruled that Aldi had violated Thatchers' trademark with its cloudy lemon cider product. Thatchers initiated a legal dispute against the German supermarket chain in 2022, alleging that Aldi had breached its trademark by producing and selling a cloudy lemon cider similar to Thatchers' own product. Aldi's Taurus cloudy lemon cider hit the market in May 2022. Thatchers contended that Aldi's product was strikingly similar to its own lemon cider, pointing out that the colour scheme of yellows and greens and the creamy yellow backdrop could mislead consumers. However, in January 2024, High Court judge Melissa Clarke ruled in favour of Aldi, determining that it had not infringed on Thatchers' trademark. In her judgement, she observed that there was no likelihood of confusion between the brands, it bore a low degree of similarity to the trademark, and Aldi's usage did not unjustly exploit the trademark.

UK hospitality sector's confidence plummets, facing higher costs and tax pressures

Confidence among Britain's hospitality sector leaders is dwindling, with only a third feeling optimistic about the forthcoming year's trading amid escalating costs. This troubling trend marks the fifth consecutive month of declining confidence in the industry, as reported by CGA by NIQ's most recent Business Confidence Survey, as reported by City AM. Morale has now plummeted to its bleakest point since late 2022 and stands as the second lowest since the Covid lockdowns of 2020. Michael Kill, the head of the Night Time Industries Association (NTIA), has openly expressed that the current climate is "more concerning than anything we saw during the pandemic". Adding to this concern is the reality that profitability has been significantly undermined by rapidly increasing labour expenses, with an overwhelming 99 per cent of enterprises acknowledging a rise in their wage bills over the previous year. Despite many in the hospitality sector experiencing robust trade over Christmas, merely a third of businesses have reported a profit uptick during this interval. The situation is expected to become more strenuous from April when employers will be hit with additional labour costs. Insights from UKHospitality indicate that changes to national insurance contributions (NICs) are anticipated to inflate the cost of employing an average worker by £2,500. Earlier in the week, it emerged that a third of UK hospitality companies might have to downsize their workforce due to increased taxation. Alarming figures from UKHospitality suggest that one in ten may need to shutter at least one establishment, while just shy of two thirds are set to withdraw investment plans. "Pubs, brewers and hospitality venues will be forced to make painful decisions to weather these new costs, which will have damaging impacts on businesses, jobs and communities," warned the UK's three core hospitality trade associations – UKHospitality, the British Beer and Pub Association, the British Institute of Innkeeping and Hospitality Ulster – in a joint statement. Recently, City broker Peel Hunt raised alarms about the future of British pub culture, stressing that structural pressures and tax increases are putting it at risk. Hospitality was noted as the primary contributor to economic growth in November and December; however, according to Peel Hunt, tax rises announced in the October budget "halted and reversed a year-long upgrade cycle". Both hospitality and retail sectors have been appealing to the Government for a phased introduction of changes to employer's national insurance (NICs), and earlier this year, Baroness Noakes introduced a related bill.

AI platform working with OpenTable and Hawksmoor secures major funding

An Exeter-based AI platform that provides data to companies in the restaurant and hospitality sectors has secured a £350,000 equity investment as part of a £1m funding round. Big Business Intelligence, trading as Distil.ai, will use the cash from the British Business Bank's South West Investment Fund, via appointed Fund Manager The FSE Group, to scale and expand its team. The wider fundraising round also included investment from Waterspring Ventures. Distil.ai's platform provides data insights aimed at helping companies boost operational returns, marketing effectiveness and customer relationship management. The business counts The Devonshire Group, Gordon Ramsay Restaurants, restaurant booking platform OpenTable, and steak restaurant Hawksmoor, among its customers. Gerry McNicol, founder and chief executive of Distil.ai, said: “This funding is allowing us to invest in key activities to accelerate our growth trajectory and solidify our position in the market. Planned developments mean we can continue to provide customers with unparalleled insights at exceptional value." The cash injection will be used to advance platform development, Distil.ai said, including the addition of multi-language capabilities, ahead of a planned Series A funding round. Meg Salt, investment manager at The FSE Group, said: “With its scalable technology and strong foothold in the restaurant sector, Distil.ai is a compelling investment opportunity. The company's unique access to OpenTable data, along with its credible management team, make it an exciting proposition. Distil is well-positioned to achieve significant growth and we are delighted to be supporting them on this journey.” Paul Jones, senior investment manager at the British Business Bank, added: "Distil.ai is a great example of how data-driven innovation is thriving in the South West. By harnessing AI to unlock new value in hospitality and other sectors, the business is helping customers harness their data to drive efficiency and growth. We look forward to seeing how support from the South West Investment Fund accelerates Distil's next stage of development." The South West Investment Fund offers a range of commercial finance options with smaller loans from £25,000 to £100,000, debt finance from £100,000 to £2m and equity investment up to £5m.

Kurt Geiger acquired by American footwear giant Steve Madden in a £289 million deal

In a significant change of ownership, private equity firm Cinven is set to sell the British footwear and accessories brand, Kurt Geiger, to American shoe brand Steve Madden, in a deal worth £289m. Acquiring Kurt Geiger for £245m in 2015, Cinven has overseen remarkable growth in the US market, particularly in the last year, with sales soaring by 58.7% to over £110m between February and September, as reported by City AM. The brand's e-commerce and wholesale divisions witnessed an impressive surge, growing by 94.4% and 50.9%, respectively. Since 2018, annual US sales have catapulted from a modest £2.5m to an astonishing £250m. Under Cinven's stewardship, Kurt Geiger has expanded its physical presence in America, boasting four brick-and-mortar stores, with ambitions to reach 50 locations across the nation. In total, the brand now operates over 70 stores globally. Kurt Geiger's chief executive, Neil Clifford, reflected on Cinven's pivotal role in shaping the company's trajectory: "[Cinven] have been instrumental in creating value for Kurt Geiger, helping us to transform and strengthen the business." Clifford continued, "We have successfully implemented new strategies and broadened our product offering, all whilst staying true to our brand identity. As we step into this next exciting phase, we do so with a strong foundation." Riding a wave of success, Kurt Geiger recently announced record growth of 17% in December, propelled by a 54% increase in handbag sales and its successful foray into the US market. The brand will be bought by Steve Madden, which also owns the Dolce Vita, Betsey Johnson, Blondo and Greats fashion brands. Senior principal Olivier Cassat said: We believe the new owners bring complementary expertise and industry understanding to further accelerate its success. We look forward to seeing Kurt Geiger flourish in the years ahead."

Very Group returns to profit despite drop in sales

Online retail giant Very Group has reported a pre-tax profit of £6.1m for the six months to 28 December 2024, marking a return to profitability despite a drop in sales. This comes after the Merseyside-based company that includes Littlewoods posted a pre-tax loss of £2m during the same period in 2023. However, the half-year results also reveal a decline in total revenue from £1.22bn to £1.17bn over the period. In its most recent full year, Very Group reported a revenue of £2.12bn and a pre-tax loss of £15.8m. The group, owned by the billionaire Barclay family and chaired by former Chancellor Nadhim Zahawi, commented: "As expected, the market in Q2 FY25 continued to prove challenging given ongoing economic pressures." It added: "As we continue to focus on higher margin sales and cost discipline through the remainder of FY25, we expect to see a continued strengthening of the profitability of our business." The revenue of the Very brand fell by 3.2 per cent to £1.02bn while Littlewoods' sales dropped by 15.3 per cent to £109.2m. Very UK's largest category, electrical, saw its sales fall by 4.5 per cent "as a result of annualising against a quarter which included significant gaming product releases", as reported by City AM. The company added: "Toys, gifts and beauty also annualised against a year in which we heavily invested in the category, however performed strongly over our peak period. "As such, the category declined slightly by 0.6 per cent year on year, and within this we achieved growth of 3.1 per cent in toys and 6.3 per cent in beauty. "The home category is of strategic importance as we prioritise higher margin sales, and in Q2 we saw growth of 7.3 per cent compared to the prior year. "This was largely due to an increase in sales of home accessories, textiles and upholstery." Very noted that fashion and sports experienced a six per cent decline “in a heavily discounted and contracting market”. However, it highlighted that excluding the impact of Nike, there was a reported rise of 1.7 per cent in fashion and a substantial 18.4 per cent increase in sport.

Plans to demolish entire row of shops and flats in Bristol

Plans to demolish and rebuild an entire row of shops and flats as part of a multi-million regeneration scheme are inching closer to approval. A revised set of proposals for the west side of Filwood Broadway has been submitted to council planning officers, with work potentially starting this year if approved. The scheme involves the demolition of all buildings from 4 to 16 Filwood Broadway, including shop units and flats above on the western curve, facing the play space and community centre. Behind the shops, a larger residential development is already under way on land that once housed the area's art deco 1930s cinema building. The shops will be replaced by new business units and 18 'affordable' flats, built to high-tech specifications with eco-features like solar panels and heat pumps. The plans were first submitted in November as part of the wider Filwood Broadway regeneration scheme, which received £14m from the Government's Levelling Up fund in 2023. This funding is being used for a complete refurbishment of the community centre, this residential development, and other enhancements to the area. The proposal has received only one formal objection, although the Bristol Civic Society expressed its support in principle, with a single issue concerning the internal layout of the flats. This week, the council's housing department, which is spearheading the project, submitted an entirely new set of documents detailing improvements to the area's water, sewage and drainage systems, solar panel designs, and revised plans for the building's facade, reports Bristol Live.

Scooter firm Pure Electric set for profit in 2026 after business overhaul

Pure Electric, the scooter company led by former Hargreaves Lansdown investor Adam Norris, has projected its first profit for 2026 following a shift in its business model. The Somerset-based firm anticipates that its pre-tax loss will continue to decrease throughout the current financial year as it expands globally, as reported by City AM. This forecast follows the company's report of a pre-tax loss of £7.5m for the 12 months ending on 29 February, 2024, a reduction from the previous year's loss of £14.6m. However, recently filed accounts with Companies House reveal a drop in overall turnover from £20.8m to £18.1m and a reduction in staff numbers from 139 to 59 due to store closures and "efficiencies". Pure Electric attributes its reduced operating loss to a £6m cut in administrative and exceptional expenses and a £1.1m increase in gross profit after exiting unprofitable stores and ceasing sales of bikes and low-margin third-party scooters. The company also cites a 13% revenue decline as a result of these changes. Over the past year, Pure Electric's UK sales fell from £18.9m to £9m, while sales in the rest of Europe rose from £1.9m to £8.4m. The company also reported a turnover of £690,213 in other global markets. Over the past year, Pure Electric has expanded its presence into Halfords, Argos, Evans and Selfridges in the UK, as well as Australia, the Nordics, China and Italy. The company reported a 20 per cent reduction in administrative costs to £10.4m, largely due to restructuring for a leaner business model. A statement from the board outlined plans for further expansion in existing markets and new territories including Japan, Switzerland, Germany and UAE in FY25. "With its differentiated own brand, Pure Advance scooter range, a partnership with McLaren and global expansion plans, the group remains in an unrivalled position to exploit the incipient micromobility trend and become the leading global escooter brand," the statement read. The company also plans to identify further cost efficiencies and launch new products, while expanding within existing markets and geographically. As a result, it anticipates a significant reduction in losses in FY25, with the aim of generating profit from FY26 onwards. In October 2024, Pure Electric raised £2.27m through a crowdfunding campaign, exceeding its target by 227 per cent. The round attracted 874 investors, bringing the company's total investment to over £70m. Financial documents for PST Holdings, the parent company of Pure Electric, reveal a drop in turnover from £27.1m to £19.9m within the same financial year, while its pre-tax loss was reduced from £21.8m to £11.3m.

Next ad featuring 'unhealthily thin' model banned over body image concerns

The UK's Advertising Standards Authority (ASA) has recently upheld a grievance against retailer Next for featuring what was deemed an "unhealthily thin" model in an online advert for leggings. This decision follows shortly after the All-Party Parliamentary Group on Eating Disorders released a report highlighting the "alarming" surge in conditions such as anorexia and bulimia over the last ten years, noting that eating disorders possess "one of the largest treatment gaps in modern healthcare", as reported by City AM. A 2023 survey indicates that more than one in ten individuals aged 17 to 19, and a fifth of young women, are affected by an eating disorder. In its verdict regarding Next's advertisement, the ASA stated that the model "appeared unhealthily underweight in the image" and branded the ad as "irresponsible." Last year, the watchdog similarly reprimanded Mango and fashion retailer Warehouse for their use of 'unhealthily thin' models in advertising, finding them in breach of the CAP code which mandates that "marketing communications must be prepared with a sense of responsibility to consumers and to society." The ASA specifically criticised the "pose and the lighting" in Next's ad, which accentuated the model's rib cage and legs, making her appear particularly slender. The authority has ordered that the advert must not be shown again in its present form and directed Next to ensure their advertising imagery is created responsibly and does not depict models as being unhealthily thin. NEXT has stated that the advertisement was produced with a deep sense of responsibility towards consumers and society at large, emphasising that their creative teams were committed to featuring a diverse array of models.

Newcastle shopping destination Eldon Square appoints new director

A new boss has been appointed to lead Newcastle city centre’s premier shopping and leisure destination Eldon Square. Helen Cowie has been named as the new centre director for Eldon Square, one of the UK’s most visited city centre shopping malls with more than 26.5m people stepping into its shops every year. Ms Cowie, was born and raised in the region and has lived in the North East all her life, has more than 30 years of experience within retail, joining the centre after holding senior positions at high street retailer Marks and Spencer across a number of regions, including Scotland, North East and North West England. She has visited Eldon Square from a young age and, stepping into the leadership role, says she is excited to be part of its future and passionate about boosting its reputation across the region. She said: “I’m extremely excited to be joining Eldon Square during this transformational period for the centre. Eldon Square is more than just a shopping centre, it’s an integral part of Newcastle City Centre with a mission to elevate itself to becoming the go to retail and leisure destination in the North East. Along with my team, I look forward to continuing to enhance the shopping experience and making a positive impact on the future of this iconic Newcastle destination.” Matthew Beddow, senior director of asset management at Eldon Square, said Ms Cowie’s experience in establishing new business streams will help drive innovation across all aspects of Eldon Square’s continuing development. He added: “We are thrilled to welcome Helen Cowie to the Eldon Square team. Helen’s wealth of experience and passion for delivering an excellent customer experience will be instrumental in shaping the future of the centre. With her strong background in the sector and her deep understanding of the evolving retail, leisure and entertainment landscape, Helen is well positioned to lead Eldon Square through this exciting chapter.” Ms Cowie’s arrival coincides with a major investment programme at Eldon Square, which provides more than 4,000 jobs across more than 140 retailers. New investments this year will include a huge new Next store, which will include a Bath and Body store, River Island’s relocation, and darts bar Flight Club. Elsewhere in the complex Freight Island – a huge entertainment and dining destination inspired by Coney Island in New York – is set to land in the former Debenhams unit later this year.

Pret A Manger hit with winding up petition over unpaid debts

Pret A Manger, the renowned sandwich chain, is facing a winding-up petition from Castle Water, an independent business water supplier, over unpaid debts. The High Court filing system shows that Pret A Manger (Europe) has been targeted by Castle Water with the petition, which was filed by Addleshaw Goddard, the water company's legal representatives, on Thursday, as reported by City AM. A winding-up petition is described as a serious statement of intent by a creditor which can lead to a company being shut down due to unpaid debts through compulsory liquidation. The case was filed by the water company’s lawyers at Addleshaw Goddard on Thursday. The Official Receiver is noted as a third party. City AM reports that this is in regard to uncontested debt, and the title also understands that the bill is less than £1,500. An official receiver is a government-appointed insolvency practitioner tasked with managing the financial affairs of bankrupt individuals and companies in liquidation. Pret Intermediate Company, which is the owner of Pret A Manger (Europe), reported operating profit of £26.1m in 2023, and system sales of £1.094bn. In its most recent accounts submitted to Companies House, Pret a Manger (Europe) recorded an operating loss of £3.7m, following a pre-tax profit of over £54m in the previous 12 months. The company's accounts for the current financial year are not expected until September 2025. According to its going concern assessment, Pret A Manger indicated it "will require additional funds, through funding from its parent company... to meet its liabilities". An auditors’ report on Pret A Manger's accounts stated there were "no material uncertainties that could have cast doubt over [Pret’s] ability to continue as a going concern for at least a year from the date of approval of the financial statements". The report further added, "The risk that we considered most likely to adversely affect the company’s available financial resources and/or metrics relevant to debt covenants over this period was an inability to achieve the revenue growth targets in the group’s business plan as a results of a reduction in customer’s level of income."

Hair salons tell Chancellor to cut VAT to save industry from 'existential crisis'

The North’s hair and beauty industry could face a long-term crisis unless the Government cuts VAT – that’s the message from the owners of salons across Merseyside. The British Hair Consortium (BHC) says the tax system is “crushing” high street salons and that the whole industry so vital to the region’s economy is facing an "existential crisis". Collinge & Co has been in Liverpool city centre for decades and every year trains dozens of apprentices who will be the future of the industry. But its boss Charlie Collinge says his company has already had to close one salon as rising costs bite – and warns that without more Government support the flow of apprentices to the industry could stop altogether. Like other high street companies, hair and beauty firms are also coping with the upcoming rise in National Insurance costs. Collinge & Co said that rise in costs was a factor in the closure of its Ormskirk salon. Meanwhile the owner of three Sefton salons says VAT is her biggest challenge and says she fears for the future of the industry. The BHC is today issuing a report by consultancy CBI Economics saying the Government must “urgently halve the VAT salons pay on labour costs to 10%” to help salons stay competitive. It says that because hair and beauty work is labour-intensive, taxes on labour hit salons harder than other high street businesses. More hairdressers are choosing to work on their own rather than being employed at salons – such as by renting chairs at a shared salon – to save money. But the BHC says sole traders are generally not taking on apprentices, unlike traditional salons. It says that if the trend goes on then "by 2027 there may be no new apprenticeships offered". Charlie Collinge, managing director of Liverpool’s Collinge & Co, said last year the business had 300 applications for 64 apprenticeship places. It managed to fill 60 of those places. This year’s apprenticeship scheme has been open for two months and has already had more than 120 applications. But so far it has only had 17 businesses express an interest in taking an apprentice. Charlie told BusinessLive: “If you've got over 300 people applying for an apprenticeship. You should be able to fill 64 places, you really should. But I really don't think we will. “Realistically, we could be looking at not being able to afford to run as a training provider if we can't fill or get close to filling 64 places. And then there's no apprenticeships. Then you're talking about there being no apprenticeships offered in all of Liverpool City Region.” Charlie said the industry offered a great career and good pay – but that he was worried the pipeline of trainees could slow dramatically unless training providers like his were offered support. He said: “We've offered amazing opportunities to people. It really does give people a good career. There's good progression, good career security. There's always going to be demand for hairdressing. The current hairdressers are okay. But if we don't have apprentices coming through, there's going to be a really big issue.” Charlie says he wants Chancellor Rachel Reeves to use her spring statement next month to cut VAT for hair salons. He said: “We believe we're unique. We believe we've got the highest wage bill on the high streets. For some businesses, over 60% of their turnover is going on wages. So when there is something like an NI increase, that's hitting us twice as hard as the hospitality business, it's hitting us three times as hard as a retail business. So these increases aren't equal. “ The Collinge family has worked in hairdressing since the 1940s. Peter Collinge opened his city centre salon in 1954 and became one of Britain’s most famous hairdressers. His son Andrew followed in his footsteps, becoming a regular on ITV’s This Morning alongside wife Liz. Andrew was also passionate about training in the industry – as his son Charlie, who now leads the business. As well as its flagship Castle Street salon, Collinge & Co also has a salon and training academy at Bold Street in Liverpool city centre, a salon in Heswall in Wirral, and a concession in Selfridges at the Trafford Centre. Its Ormskirk salon will close next month. Mr Collinge estimates 70% of the industry is now self-employed rather than working in or running salons. He said: “An owner of a wholesaler told me that there's no less hairdressers out there, because they know that from the amount of product they're selling to people, but they don't know where the hairdressers are operating.” And he added: “Therefore, there's less and less salons that even operate a PAYE system so that therefore are offering apprenticeships. So that's the challenge. “So let's say 70% of the industry is self-employed. Because that's dominant and it's cheaper, it makes it very difficult for you (as a salon owner) to then grow your business. “I could put a job out for this salon… and we probably won't get many applications because people want to be self-employed, so it's very difficult for you to grow your business. So our succession plan is apprentices. Without apprentices, we cannot bring hairdressers into our business.” The NI increase means Collinge & Co’s NI bill will rise 37%. But for its Ormskirk salon alone, the NI bill will rise 70% because it has several staff who work part-time and enjoy working flexible hours. Mr Collinge said: “That NI threshold change hits that side of the business so much harder than a large business with full-time employees or people on high salaries. The hairdressing industry has always offered flexi working and it feels like we're getting hammered for it with this NI bill.” And he added: “It's a labour intensive industry. Someone comes in, they've got someone's undivided attention for the entire time they're in. There's not many other businesses where you go in and you have that one-on-one relationship… there isn't, basically, is there?” Denise Thomas has hair salons in Litherland, Crosby and Netherton. She said: “I’ve been a hairdresser for almost 47 years and a salon owner for 25 years and one of the biggest challenges I’ve faced over the years has been VAT. “A growing number of salons now operate with chair renters who don’t have to pay VAT, which allows them to keep their prices low and creates an uneven playing field. “I also worry about the future for the next generation of stylists. Who will train them? Recently I had to make the difficult decision to let my two newest apprentices go because I simply can’t afford them. “My training provider has no salons on their books looking for apprentices this year, as chair rental salons don’t typically train apprentices. If salons like mine continue to be squeezed, they’ll become less and less viable, making it even harder for employers like me to secure a stable future.” The British Hair Consortium represents 50,000 UK hairdressing professionals. Its co-founder Toby Dicker said: “Our industry has been ignored for years and we’re calling on the Government to correct decades of mismanagement. Most owners haven’t had a pay rise in many years and simply can’t consider expanding their business, let alone take on an apprentice. “A ‘one size fits all’ tax system doesn’t work and has created an unlevel playing field. Increasing numbers of owners are either closing their salons or changing their employment practices and are renting chairs to contractors just to survive. This report shows how cutting VAT to 10% won’t cost the Government a penny. It would save salons across the country and ensure the future of our industry which sits at the heart of the high street. “Ireland has recognised this and dropped its VAT on labour intensive businesses in hairdressing and hospitality to nine percent. The change is working – new salons are popping up and paying tax while workers are also benefiting from improved employment rights.”

Birkenstock sales to surge in UK as trendy footwear brand makes latest update

Birkenstock is predicting a significant stride forward in its UK sales for the current financial year as demand surges. The footwear brand has disclosed that so far, sales are "above initial expectations" for the year ending in September. Bolstered by retail store openings and growth in the wholesale channel, Birkenstock has enjoyed a continued increase in UK revenue, as reported by City AM. According to recent accounts filed with Companies House, the company's turnover leapt from £47.8m to £59.8m in the 12 months up to 30 September 2024, with pre-tax profits climbing from £1.2m to £1.8m in the same timeframe. These figures build on an upward trend from £34.5m in 2022, £23.2m in 2021, and £14.7m in 2020. Following Birkenstock's IPO on the New York Stock Exchange on 11 October 2023, the firm has been driving successes in its wholesale business. A board statement read: "Birkenstock UK has achieved significant revenue growth in a challenging economic environment, underscoring the strength of its brand and business model." It continued, "While profitability was impacted by rising costs and strategic investments in retail expansion, the company achieved revenue growth in 2024 and this is looking to continue into 2025." Concluding, the statement highlighted that through "By leveraging its vertically integrated operations and strong wholesale partnerships, the company remains resilient amidst market challenges and poised for future success." Birkenstock has reported a strong performance in its wholesale supply to retailers during the financial year, despite the ongoing squeeze on consumer spending. The company stated: "The wholesale supply to retailers performed excellently during the financial year as the UK retail sector continued to show resilience while wholesale revenues grew by 24 per cent." It also acknowledged the challenges faced by its multi-channel wholesale partners due to inflation and cost of living increases, but noted that growth reflects the strength of the Birkenstock brand with these partners. Regarding its future prospects, the company expressed optimism, stating: "Birkenstock is expecting continued growth in the segment for sandals, boots and shoes with an orthopaedic footbed, connected with fashionable design and high quality." The firm emphasised its focus on the value and importance of the footbed. Sales of boots and shoes have exceeded initial expectations throughout the current financial year, with the company revealing: "Sales revenues throughout the current financial year have been above initial expectations." With a robust order book, Birkenstock anticipates that the number of boots and shoes sold, and consequently sales revenues, will continue to rise in the financial year 2024/25. This forecast is based on evident demand, notably through wholesale forward orders driven by current sell-through and the continued growth of these products in their retail stores. The company added: "There will be additional resource to drive growth in professional products including hospitality and medical sectors which is a strategic priority across the group."

Dragons' Den offer for Wiltshire gardening company Dig

A Wiltshire-based gardening start-up has secured a £75,000 investment after appearing on Dragons' Den. Entrepreneurs Henry Bartlam and award-winning garden designer Alex Hollingsworth won over Sara Davies after pitching their lifestyle brand aimed at beginner and budding gardeners. Mr Bartlam, who lives in Marlborough, conceived the idea for Dig during the Covid-19 lockdown of 2020, when he noticed a dramatic rise in popularity for gardening and food-growing at home. He teamed up with Ms Hollingsworth, whose accolades include winning RTE Super Garden and a silver medal at Bloom; Ben Davies, a Bristol-based website and digital marketing expert; and communications specialist Ed Maitland Smith, to launch the business. The company's flagship product is ‘Instant Beds’ - a customisable, ready-to-plant garden packs tailored to different garden styles and aimed at beginners. The business owners initially asked the dragons for £75,000 in return for 5% of their business. Ms Davies, founder of crafting empire Crafter’s Companion, finally agreed a deal with the duo in which should took a 15% stake in exchange for the funding. She said: “When Alex and Henry began their pitch, I immediately saw how Dig’s offering would resonate with a lifestyle and DIY-focused consumer base who love the idea of gardening but don’t know where to start. "They are passionate about sharing their joy and knowledge for gardening, and I believe there’s a whole generation of consumers out there eager to enjoy the benefits of Dig’s Instant Beds and other products. I’m excited to roll up my sleeves and dig in with the team to make gardening easy and accessible for everyone!” Mr Bartlam said: “We couldn’t have asked for a better partner. Sara’s retail expertise and passion for our business are exactly what we need to take Dig to the next level.” The Dig team is planning to use the funds to scale operations and logistics, and evolve their product and services portfolio. Ms Hollingsworth added: “We’re still very much a kitchen table business, but with Sara’s investment, we’re ready to expand our product range, partner with other brands, and bring the joy of gardening to a wider audience.”

Unilever sales grow as Marmite and Dove maker's turnaround plan starts to pay off

Unilever, the household name behind brands like Dove and Marmite, has reported a profit increase as its restructuring efforts begin to bear fruit. The FTSE 100 consumer behemoth saw a turnover rise of 1.9% to €60.8bn (£50.71bn) in 2024, slightly surpassing analyst expectations of a 1.6% increase, as reported by City AM. Sales surged by 4.2%, predominantly propelled by the beauty and personal care sectors, while underlying operating profit soared by 12.6% to €11.2bn. Underlying earnings per share also climbed by 14.7% to €2.98. The positive financial results indicate that CEO Hein Schumacher's strategy for growth is starting to deliver results following a period where the company experienced diminished returns as consumers reined in spending due to the cost-of-living crisis. Despite this, operating profit dipped by 3.7% to €9.4bn, attributed to the costs associated with implementing and accelerating the growth plan, according to Unilever. Schumacher commented on the performance, stating that it "reflect a year of significant activity" and emphasised the company's commitment to "transforming Unilever into a consistently higher performing business". In a move to streamline operations, last year Unilever announced plans to divest its ice cream division, Ben & Jerry’s, and reduce its workforce by approximately 7,500 roles. The separation of Ben & Jerry’s is expected to be finalised by the end of 2025, with the simplification process reportedly advancing ahead of schedule. However, the company has incurred rising restructuring expenses amounting to €850m. Schumacher highlighted that the productivity initiative is "helping to create a leaner and more accountable organisation". Unilever anticipates market growth, which decelerated throughout 2024, to continue being soft in the first half of 2025, with underlying sales growth projected at three to five per cent. The firm's shares have reacted positively to Schumacher’s strategy, with a nearly 19 per cent increase in share price over the past year and almost five per cent in the previous month. Robinhood UK's lead analyst Dan Lane commented: "Throwing weight behind its core assets is exactly the strategy Unilever shareholders will be happy to see. " He added: "The more focused, leaner strategy only went live at the start of the year so the market will need to be patient for now but it’s a big step in the right direction."

UK inflation hits 3.0% in January to challenge Bank of England as cost fears continue

Inflation has risen more rapidly than anticipated at the beginning of the year, according to official data, fuelling concerns about persistent price pressures in the economy. The Office for National Statistics (ONS) reports that the headline rate of inflation increased to 3.0 per cent in January, up from 2.5 per cent in December and exceeding the 2.8 per cent predicted by City traders. Grant Fitzner, chief economist at the ONS, said: "Inflation increased sharply this month to its highest annual rate since March last year," He attributed the rise to air fares not falling as much as typically seen at this time of year, partially due to the timing of flights over the Christmas and New Year period. This news follows recent figures showing an acceleration in wage growth in the final quarter of last year, pushing regular private sector pay to its highest level since November 2023. Coupled with a surge in inflation, these statistics highlight the ongoing inflationary risks confronting the UK economy, necessitating a "gradual" approach to interest rate cuts by the Bank of England. The Bank's latest forecasts suggest that inflation will peak at 3.7 per cent later this year, driven by escalating energy prices and increasing regulated prices, such as water bills and bus fares. However, Andrew Bailey, Governor of the Bank, stated that the expected rise in inflation does not reflect "a story about the fundamental state of the economy," as it is largely influenced by external factors. The Bank anticipates ongoing progress in services inflation and wage growth throughout the year, which will facilitate additional interest rate reductions. Market predictions suggest two more rate cuts this year, as reported by City AM. Rachel Reeves said her “number one mission” was getting “more pounds in pockets” after the rate of Consumer Prices Index inflation increased to 3% in January, according to the Office for National Statistics. The Chancellor said: “Getting more money in people’s pockets is my number one mission. Since the election we’ve seen year on year wages after inflation growing at their fastest rate – worth an extra £1,000 a year on average – but I know that millions of families are still struggling to make ends meet. “That’s why we’re going further and faster to deliver economic growth. By taking on the blockers to get Britain building again, investing to rebuild our roads, rail and energy infrastructure and ripping up unnecessary regulation, we will kickstart growth, secure well-paid jobs and get more pounds in pockets.” Just a few days ago, Andrew Bailey told BusinessLive the Bank would continue to take a ‘gradual and careful’ approach to any rate cuts.

Quiz enters administration as 23 stores close putting 200 jobs at risk – full list of shops closing

Quiz, the beleaguered fashion retailer, has been forced to close 23 stores following its slide into administration – putting approximately 200 jobs in jeopardy. The closures come despite the brand being rescued through a pre-pack administration deal by Orion, a subsidiary of the Ramzan family that founded the company. In the previous month, Quiz had been actively seeking emergency funding to avoid running out of money by March. The company appointed Teneo as the insolvency practitioner for Zandra, its subsidiary that operates its UK and Ireland stores. Through the administration process, Orion acquired a selection of assets, including the Quiz brand and 42 stores, which the retailer says will preserve the majority of its workforce. However, 23 "loss-making or unsustainable" stores were not part of the acquisition, affecting around 200 employees, and these have now permanently ceased trading. Sheraz Ramzan, chief executive of Quiz, commented on the situation: "The board took the difficult decision to appoint administrators to Zandra Retail Limited in light of the continuing challenging trading conditions impacting the group's performance." He added, "We are deeply sorry to those affected by the store closures, including our retail colleagues." Ramzan emphasised that the move was necessary to place the business on a more sustainable path and safeguard several hundred jobs. Additionally, last month saw Quiz withdraw from the AIM market in London as a cost-saving measure. Quiz has reported "disappointing" sales during the Christmas trading period, stating that its cash reserves are "less than previously anticipated". The company attributed the poor performance partly to the "impact of inflationary pressures on consumer confidence and spending". Athlone, Athlone Town Centre shopping centre Brighton, Churchill Square Bristol, Cribbs Causeway Derry, Richmond shopping centre Doncaster, Frenchgate centre Dundee, Overgate Enniskillen, Erneside shopping centre Exeter, Princeshay shopping centre Falkirk, Howgate centre Fareham, Whitley shopping centre Glasgow, Forge shopping centre Grimsby, Freshney Place Liverpool, South John Street Maidstone, Fremlin Walk Milton Keynes, Silbury Arcade Motherwell, Brandon Parade South Newbridge, Whitewater shopping centre Peterborough, Queensgate shopping centre Preston, Friargate Walk Southampton, Westquay Shopping Parade Swansea, Queens Arcade Tallaght, The Square

Burberry set to re-enter FTSE 100 in major milestone after share price doubles

Burberry is poised to make a comeback to the FTSE 100 in March as its shares have soared, doubling since hitting low points in September. The esteemed luxury brand had dropped from the FTSE 100 following the quarterly reshuffle last September when its share price plummeted by nearly 75% over 16 months, as reported by City AM. However, optimism for the luxury market's recovery and a well-received revival strategy under the leadership of CEO Joshua Schulman appear to be bearing fruit. The company's share price has skyrocketed by just over 98% in the past six months, raising its market capitalisation to approximately £4.04bn. As of February 7, Burberry ranked as the 89th-largest company on the London Stock Exchange. Maintaining this rank would ensure its automatic re-entry into the FTSE 100 during the upcoming March reshuffle. RBC luxury analyst Piral Dadhania mentioned that Burberry is her "preferred turnaround idea" of the year. November saw the launch of an ambitious turnaround plan for Burberry which involved appointing new leaders in marketing, product merchandising, and Americas divisions, slashing costs by £40m, and refocusing on outerwear. This strategy led to a surge in demand towards the end of 2024, with sales in America increasing by four percent quarter-on-quarter, and a significant reduction in losses elsewhere. Prior to this, Burberry had been grappling with a shaky brand image, frequent changes in leadership, and waning investor confidence – challenges all intensified by a broader post-pandemic slump in the luxury sector. Interestingly, the company's recovery strategy has aligned with initial indications of a revival in the sector. Luxury stocks have collectively risen by approximately 30 per cent over the past three months, according to Dadhania, due to an improving consumer climate in America and a stabilising performance in China.

In The Style on brink of collapse with administration looming

Fast-fashion retailer In The Style is teetering on the edge of administration, just two years after a rescue deal was necessitated. FTS Recovery is being prepared to manage the potential administration of the company, which was established by Adam Frisby in 2013, as reported by City AM. Previously listed on the London Stock Exchange’s AIM, the business was sold off in a distress sale to Baaj Capital for slightly over £1m in March 2023. As 2024 drew to a close, City AM reported that In The Style had cut jobs in an attempt to curb its losses amidst ongoing declining sales. The Manchester-based fast-fashion retailer recorded a pre-tax loss of £2.6m for the year ending 31 March, 2024, a decrease from the £7.7m loss it reported in the previous 12 months. Its revenue also fell from £45.9m to £30.4m during the same period. This latest total also represents a drop from the £57.3m it generated in 2022. The company also reduced its workforce from 179 to 140, having taken "significant steps to reduce operational overhead by investing in automation, clear strategic priorities and the removal of duplication of task". These results followed the departure of founder Adam Frisby from the brand in recent months. Frisby, who launched the Manchester-based brand from his bedroom in 2013 and served as its CEO for nine years, left the firm in January 2022. However, he resumed his role as CEO in December of the same year, only to leave again 12 months later. Since March 2024, In The Style has been in discussions with London-listed Iconic Labs regarding a reverse takeover.

Drayton Manor's profits slide for fourth year as theme park hit by wet weather

Drayton Manor has reported a drop in profit for the fourth consecutive year since being saved from administration, with inclement weather continuing to dampen sales. The Staffordshire-based theme park recorded a pre-tax profit of £1.2m for the year ending 30 September 2024, a decrease from the previous year's £2m, as reported by City AM. This follows pre-tax profits of £3.5m and £5.6m in the two years post-rescue. Prior to its collapse into administration in 2020, Drayton Manor had been operated by three generations of the Bryan family since its opening in 1950. The theme park was subsequently acquired by Looping Group, which operates several UK attractions including West Midland Safari Park and Pleasurewood Hills, as well as other European sites. In the three years leading up to its administration, Drayton Manor accumulated a pre-tax loss exceeding £7m. According to recently filed accounts at Companies House, the park's turnover also fell from £29.3m to £28.1m during its latest financial year, having stood at £30.7m in the year ending 30 September 2022. With Merlin Entertainments planning to open a Minecraft-themed park in the UK, and Universal detailing plans for a new UK theme park expected to provide a £50bn boost to the economy, Drayton Manor is set to face increased competition in the coming years. The board of Drayton Manor released a statement acknowledging the difficulties faced by the business: "Challenges such as very high energy prices from the prior year lessened but our customers were still feeling the effect of the high cost of living." "The weather continued to be another challenge to the business with summer 2024 being the coolest since 2015 and any heatwaves were short lived. The summer was largely overcast, wet and cool." Despite a dip in profits, Drayton Manor distributed dividends totalling £1.2 million to its owner. The theme park's turnover decreased slightly from £23 million to £22.3 million over the year, while revenue from its hotel and events also saw a downturn from £6.2 million to £5.8 million.

Shein profit slumps by 40% ahead of London IPO as rival battles for market share

Shein's net profit took a significant hit in 2024, plummeting by almost 40%, casting uncertainty over its highly anticipated London stock market listing. The fast fashion group saw its profits fall by more than a third last year, posing additional challenges to its flotation plans, which could be one of the largest on the London Stock Exchange this decade, as reported by City AM. As reported by the Financial Times on Sunday, the Singapore-based retail behemoth recorded a net profit of $1bn, falling short of its initial forecast of $4.8bn. Despite achieving a 19% increase in annual sales to $38bn, Shein faced difficulties in the final quarter due to intensified competition from Chinese competitor Temu. Initially targeting a 2024 IPO in New York, the rival company shifted its focus to London after failing to secure US regulatory approval. The listing is now shrouded in uncertainty amid geopolitical tensions and investor apprehensions regarding its valuation. Recent reports suggest that investors are pressuring the fast fashion leader to cut its valuation by two-thirds from its peak if it proceeds with the London Stock Exchange float. Valued at $66bn during a funding round in 2023, investors are advocating for a reduced valuation around $30bn to bolster the IPO's chances. This adjustment to bridge the "cavernous gap" between Shein's past and potential stock market valuation is seen as a move that could enhance the likelihood of the IPO proceeding, according to insights from two major investment platforms. AJ Bell investment director Russ Mould commented: "It makes sense that investors want a discounted valuation for Shein before agreeing to back the IPO". The listing could be postponed until the latter half of this year, necessitating Shein to refile paperwork with UK regulators. Shein also confronts potential cost hikes following US President Donald Trump's decision to terminate a tariff exemption that permitted it to deliver low-value shipments to American customers duty-free. The company has ramped up expenditure on marketing and logistics as it vies with Temu for market share.

UK's first floating Padel courts set for Liverpool Waters

The developers of Liverpool Waters want to bring the UK's first ever floating padel courts to the city's waterfront. Padel, considered the fastest growing sport in the world, is a racquet sport that merges elements of tennis and squash, typically played in doubles. Peel Waters' proposed facility will be located at Princes Dock at Liverpool Waters and will feature three floating courts. These would be constructed on a special floating platform from Finland, with the courts themselves manufactured in Spain. Documents have now been submitted to Liverpool Council's planning department, aiming for an opening this summer. This is the latest floating development for the city, following the Wyld Sauna concept which opened on the dockside last Autumn. As part of the plans, players and spectators would have the opportunity to socialise in a waterside clubhouse, complete with a bar, kitchen and decked seating area. A small specialist retail store would also be situated within the clubhouse. Padel has already gained popularity on Merseyside, with three specialist courts installed at Liverpool Cricket Club in November 2023, reports the Liverpool Echo. Padel is gaining traction among sports personalities, with notable fans including Liverpool captain Virgil van Dijk, who has invested in Game4Padel, and former Reds manager Jurgen Klopp, who has been spending time on the court since leaving Anfield. England white-ball cricket captain Jos Buttler is also an enthusiast. James Whittaker, managing director of Peel Waters, said: "We are really pleased to be bringing the UK's first floating Padel courts to Liverpool Waters. This floating concept demonstrates the open approach we have at Peel Waters to welcoming innovative, new ideas and collaborating with forward-thinking businesses to use our portfolio as a testbed for unique, UK-first activations on water and the surrounding land." He added: "We have thousands of residents, workers and visitors already on site at Liverpool Waters and we are constantly looking at new ways to connect-up the community and new activities for them to experience. This new facility will be an iconic, must-visit Padel destination both for Padel enthusiasts and general spectators encouraging more socialising, friendship forming and opportunities for the area." Gareth Evans, who is leading the padel court project, said: "One of the reasons we love Padel so much is the social side of the sport, and so it's not just about creating a new landmark leisure concept, it's about creating something the community will enjoy and businesses will want to use. "We want to make a space which gets people out socialising and encourages people to pick up a racquet and have a go. The design of the space will create an environment that celebrates the sport and the uniqueness of the location, whilst also providing a space to watch the world go by, grab a drink, relax in and enjoy being by the water." A decision on the site by the local planning committee is anticipated this spring, aiming for a summer opening.

Wetherspoons boss warns prices 'certain to rise' following national insurance hike

The boss of pub chain Wetherspoons has warned that prices are "certain to rise" when the national insurance (NI) hike comes into force in April. Devon-based entrepreneur Sir Tim Martin told Sky News the chancellor's plan to increase employers' NI contributions would cost his business £1.2m a week. In the Autumn Budget, Rachel Reeves confirmed NI for companies would rise from 13.8% to 15%, alongside a reduction in the threshold for employee wage eligibility for the tax from £9,500 to £5,000 a year. "There will definitely be an increase [in prices], and an increase in inflation as a result of the tax increase," he told Sky on Wednesday. Sir Tim also slammed the "level of taxes" the hospitality industry is facing. He said: "It's more for pubs and hospitality than for supermarkets because we've got more labour costs per pint." The pub tycoon criticised "modern politicians", saying "they don't understand and have a natural feel for the importance of free enterprise". In October, Wetherspoons revealed its profits had rebounded as strong customer demand boosted revenues. Pre-tax profits jumped 73.5% to £73.9m for the year to July 28, compared with the previous year. Last summer, Sir Tim netted nearly £10m after selling more than one million shares in his company. The outspoken entrepreneur sold 1.36 million ordinary shares at a price of 739p apiece. His comments come as businesses across the UK brace for an increase in NI contributions from April. Business leaders in the beauty industry have warned the changes to NI will "stifle growth", and have called for Rachel Reeves to provide support in the Spring Statement.

New Look to close all stores in Republic of Ireland in 'difficult but necessary' decision

High street fashion behemoth New Look has announced its complete withdrawal from the Republic of Ireland, putting all of its employees in the country at risk of redundancy. The retailer's Irish division, which employs approximately 347 individuals, has initiated redundancy procedures following years of sustained losses, as reported by City AM. The privately-owned firm cited an increasingly unpredictable external environment as the reason for its decision to cease trading in the Republic of Ireland, according to the BBC. "We have adapted to this evolving landscape by investing in our product proposition and digital offer. However, due to the increasingly volatile trading conditions we needed to expedite our existing plans, which included conducting a review of our operations in the Republic of Ireland," the company stated. New Look has faced a turbulent few years, with job cuts at its head office, a reduction in total store count from 800 to 400, and a shift in focus towards online shopping. Staff were informed immediately after the appointment of liquidators at the High Court and a 30-day staff consultation process has begun, reports suggest. The change will reportedly not affect its parent company in the UK, which will continue to trade both online and in-store. The retail sector has been grappling with challenges for over a decade, with the shift towards online shopping being exacerbated by the aftermath of Covid-19 and high taxation. As early as 2023, customer footfall was down by 10% compared to 2019 levels, and even lower in major cities. According to the British Retail Consortium, retail costs are expected to rise by an additional £7bn across the industry next year due to a combination of the minimum wage increase, the packaging levy and higher national insurance costs. The Centre for Retail Research (CRR) has forecasted that over 200,000 retail jobs and more than 17,000 stores are set to vanish next year. A spokesperson for New Look stated: " Over the past few years, we have had to navigate a tough external environment which has only become more unpredictable. While we have adapted to this evolving landscape by investing in our product proposition and digital offer, the increasingly volatile trading conditions have meant we need to expedite our existing plans." "Following a review of our operations in the Republic of Ireland, we concluded it was no longer viable to continue trading so had to make the difficult but necessary decision to put the business into liquidation."

Lurpak maker Arla Foods eyes cuts as it battles rising prices and 'consumer uncertainty'

Arla Foods, the dairy behemoth behind brands such as Lurpak and Cravendale, has issued a warning that it is planning to make cuts of up to €110m (£91.1m) in 2025 due to escalating prices and consumer uncertainty. The Danish-Swedish multinational co-operative, which has a significant footprint in the UK and its headquarters in Leeds, also anticipates reporting a revenue of between €14.5bn to €15.3bn this year, driven by high dairy prices, as reported by City AM. However, the company cautioned that these same elevated price levels, coupled with consumer uncertainty, "are expected to pressure branded volume-driven revenue growth", which is predicted to drop to just between one and two per cent. Arla further stated that it plans to achieve "efficiencies" in 2025 of between €90m and €110m. These projections were announced alongside Arla's group revenue of €13.8bn for 2024, an increase from the €13.7bn it posted in 2023. In the UK, branded revenue rose by £89m, but overall revenue in the country declined by 2.9 per cent year on year. Arla attributed the decrease to "changes in the external landscape such as lower prices and overall milk volume declines, plus adjustments to private label volumes". This comes after Arla faced calls for a boycott in November 2024 when it revealed plans to test Bovaer, a feed additive, on some of its UK cows. The boycott was sparked by misinformation about the safety of Bovaer. Bas Padberg, managing director of Arla Foods UK, remarked: "2024 was clearly a year of strong branded growth, which really highlights the power of the portfolio and product mix we have, as shoppers look for quality, nutritious and tasty products." He further stated that as a cooperative, their aim is to generate the best returns for their owners and noted, "through strong collaboration and the support of the farmers, our customers and the whole business, means we can give back to our farmers for the hard work they do in producing our food and investing for the future of the dairy industry." Padberg added on the nutritional value of milk, "As a nutrient dense food, milk can play an important role in contributing to a healthy, balanced diet."

The Stable pizza restaurant opens branch in Padstow

Pizza restaurant The Stable has opened a new branch in Cornwall. The 120-seater Padstow eatery opened at the weekend, serving a new menu including larger, thinner pizzas, smashed burgers and fish and chips. The chain, which has restaurants in Fistral, Plymouth, Bath, Bristol and Bournemouth in the South West, also launched its first-ever breakfast menu, which is exclusive to the Padstow branch. Emma Blackmore, director of The Stable, said: ‘We’re incredibly excited to be opening in beautiful Padstow, a place that is loved by so many. "We pride ourselves on value for money and exceptional tasting food, and we can’t wait to introduce locals and visitors to our delicious fresh sourdough pizzas, ciders, and new breakfast menu which will be exclusive to The Stable in Padstow." The Stable was established by Richard and Nikki Cooper in Bridport, Dorset, in 2009 and is known for its artisanal pizza and selection of craft cider sourced from local producers. In 2020, Pub group Fullers sold The Stable to sourdough pizza and craft beer restaurant group Three Joes. The acquisition was privately funded by the company's shareholders.

Coca-Cola bottling partner reports double-digit growth despite headwinds in emerging markets

Coca-Cola HBC AG, the bottling partner of The Coca-Cola Company, has reported double-digit revenue growth despite facing significant exchange rate challenges in emerging markets. The company revealed a 2.8% volume growth for the twelve months ending 31 December 2024, fuelled by increased sales of coffee and energy drinks, as reported by City AM. Despite considerable headwinds from emerging markets such as Nigeria and Egypt, the Switzerland-based firm's reported revenue grew by 5.6%. These exchange rate challenges, coupled with higher operating expenses, led to a 1.1% organic decrease in earnings before interest and tax (EBIT) in the emerging segment. However, the company reported an overall 10% rise in EBIT, resulting in a 9.5% increase in earnings per share to €2.28. CEO Zoran Bogdanovic expressed his pride in the company's performance, stating: "I am proud that we have delivered yet another year of double-digit growth... 2024 demonstrated that we can achieve a consistently strong financial performance even in a range of market conditions." Revenue in established markets like Greece and Ireland saw a 3.3% growth, while developing markets in Central Europe experienced a 12.7% growth, and more volatile emerging markets witnessed a 23.3% growth. The company anticipates the market to "remain challenging" but expects to make "continued progress against medium-term growth targets". It has projected a revenue growth of six per cent to eight per cent and EBIT growth of seven per cent to 11 per cent.

Holiday Inn owner IHG expands portfolio amidst robust travel market recovery

Holiday Inn owner IHG is celebrating the acquisition of its 20th brand and heightened returns for shareholders amidst a resurgence in the travel sector. The company, based in Windsor, has seen its fortunes ascend as travel regains momentum post-pandemic, with early projections for 2024 indicating that the hotel industry's revenues have eclipsed those of 2019, as reported by City AM. In a statement to the markets this morning, IHG revealed that its revenue climbed to $2.3bn (£1.82bn) in 2024, marking a 7% increase from $2.1bn in the previous year. Operating profit experienced a 10% rise to $1.1bn, while earnings per share saw a significant 15% climb to 434.4 cents. Despite the positive financial indicators, IHG's share price experienced a slight downturn, dropping by 1.73% in early trading. The hospitality giant, known for owning rights to a plethora of prominent brands including Crowne Plaza, Six Senses, and Staybridge Suites, primarily adopts a franchise business model. This past year, IHG launched 59,100 rooms across 371 hotels, which is a 23% year-on-year surge, bringing their worldwide portfolio to 987,000 rooms at 6,629 properties. Furthermore, IHG's development pipeline is robust, featuring 325,000 rooms across 2,210 hotels, boasting a 10% year-over-year growth. "2024 was an excellent year of financial performance, strong growth and important progress against a clear strategy," commented Maalouf. "We continue to strengthen our enterprise to position IHG as the first choice for guests and owners, further improving and growing our brands, driving loyalty contribution, rolling out new hotel technology and increasing our ancillary fee streams," she elaborated. In conjunction with its latest results announcement, the hotel conglomerate revealed that it has acquired Ruby, a European urban lifestyle brand, for €110.5m (£91.6m). Ruby, which was established in 2013 and currently operates 20 hotels across Europe, including three in London, has become the 20th brand under the hotel giant's umbrella. "We see excellent opportunities to not only expand Ruby's strong European base but also rapidly take this exciting brand to the Americas and across Asia, as we have successfully done with previous brand acquisitions," said Elie Maalouf, CEO of IHG Hotels & Resorts. The company praised Ruby's "space-efficient designs" and "attractive, flexible concept that IHG expects to rapidly expand globally." "This acquisition demonstrates our focus on building our presence in large, attractive industry segments and using our experience of integrating and growing brands and hotel portfolios," added Maalouf. IHG also announced the completion of its $800m share buyback programme and the payment of $259m of ordinary dividends to shareholders in 2024. It proposed a final dividend of 114.4¢, resulting in a total dividend for the year of 167.6¢ for 2024, up 10 per cent year on year. Furthermore, it launched a new $900m buyback programme, which along with ordinary dividend payments is expected to return over $1.1bn to shareholders in 2025. "We enter 2025 with confidence in further capitalising on our scale, leading positions and the attractive long term demand drivers for our markets, all of which supports the ongoing successful delivery of our growth algorithm," stated Maalouf. This comes after several share buyback schemes following the pandemic. John Moore, senior investment manager at RBC Brewin Dolphin, commented: "IHG has booked a strong set of results. "They reflect the renewed focus and investment in the business, which continues today with the acquisition of Ruby – the company's 20th brand.

Just Eat Takeaway.com sees shares rise as tech firm makes £3.3bn offer

Global technology company Prosus has tabled a £3.3bn bid to take over Just Eat Takeaway.com. The Amsterdam-based private equity firm plans to initiate the offer "as soon as practically possible", which is anticipated to be in the second quarter, with the deal expected to wrap up by year-end. Prosus has proposed €20.30 per share in cash, representing a 63% premium on Just Eat Takeaway.com's closing share price on 21 February, 2025, as reported by City AM. The share price climbed to €19 per share this morning. Just Eat Takeaway.com was born out of a merger between London's Just Eat and Amsterdam-listed Takeaway.com in 2020. Following the merger, Just Eat was delisted from the FTSE 100 in 2021 as it was no longer UK-based. It maintained dual listings in Amsterdam and London until last year when it decided to drop its London listing due to administrative overheads. Fabricio Bloisi, CEO of Prosus and Naspers group, expressed his excitement about the potential acquisition: "We are very excited for Just Eat Takeaway.com to join the Prosus group and the opportunity to create a European tech champion." Prosus has already tasted success with Brazilian iFood, which heavily utilises AI to enhance customer experience and driver support. "The transaction provides an opportunity to couple Prosus' investment expertise, tech and AI capabilities and innovation mindset, with Just Eat Takeaway.com's brand strength and solid fundamentals," Prosus stated. Dick Boer, chair of the supervisory board at Just Eat Takeaway.com, expressed his enthusiasm for the deal, stating: "Just Eat Takeaway.com will benefit from Prosus' significant financial resources to support investment in the business with a long-term investment horizon." He further added, "The supervisory board unanimously supports the offer and is confident this outcome is in the best interest of Just Eat Takeaway.com and all its stakeholders." It's worth noting that Prosus has a diverse portfolio, with minority stakes in various food delivery companies, including Delivery Hero in Berlin, Meituan in China, and Swiggy in India, which recently went public. In a separate announcement, Just Eat Takeaway.com shared its 2024 results, which showed a two per cent increase in gross transaction value (GTV) in constant currency, excluding North America, where GTV declined by two per cent. The company's total revenue for 2024 was £5bn, a one per cent drop from £5.1bn in 2023, attributed to "lower order volumes, driven by weaker market conditions in North America and Southern Europe and Australia". On a more positive note, adjusted earnings before interest, tax, depreciation, and amortization (EBITDA) saw a significant improvement, rising to €460m (£381m) in 2024 from €339m (£281m) in 2023. The UK and Ireland markets drove this growth, primarily due to "improvement in fulfilment cost per order and efficiencies in marketing", according to the company.

Superdry boss submits plans for Cheltenham hospitality venue

Thousands of people have signed a petition supporting plans by the boss of Superdry to enhance his Cheltenham hospitality venue, No.131 Promenade, despite planning officers expressing concerns about potential damage to the historic setting of the town centre. Today (Thursday, February 13), Cheltenham Borough Council is set to review two separate plans by Julian Dunkerton for a covered outdoor seating area at 129-133. Both schemes involve installing solar panels on the roofs of 125-127 and 133, along with the removal of an existing conservatory at 133. In October 2020, conspicuous white marquees replaced parasols outside the grade-II* listed 131 and 133 as a temporary solution to facilitate al fresco dining during the Covid-19 pandemic. However, after the easing of restrictions, initial plans to retain these structures for another two years were turned down by Cheltenham Borough Council in November 2022. This decision was upheld by a planning inspector in summer 2023, and the council is currently enforcing this ruling, which necessitates their removal. Mr Dunkerton submitted plans to the council in October for a permanent terrace to replace the temporary structures, aiming to safeguard over 130 jobs at the venue and bolster Cheltenham's reputation as a top-tier destination. The proposed new terrace structure at No 131 in Cheltenham presents two design choices: a glass build with ornate ironwork, which proponents argue matches the regency style of the area, or a sleek metal pergola with a retractable cover. Both designs have been crafted in collaboration with award-winning local architects and heritage specialists, according to Mr Dunkerton's planning advisors, reports Gloucestershire Live. Mr Dunkerton says there is overwhelming support for his proposals as more than 2,000 people have signed a petition in favour and more than 80 per cent of comments on the Cheltenham Borough Council website expressing approval. "I am delighted by the incredible support from the people of Cheltenham, and I remain committed to investing in the town," he said. Despite this, the plans may face rejection by the Borough Council's planning committee on Thursday, as officials have voiced concerns about potential damage to surrounding listed buildings and the historically significant environment. The recommendation is to refuse both proposals, as they are deemed incompatible with both local and national planning guidelines.

B&M shares tumble as it cuts profit guidance and announces CEO exit

Shares in discount retailer B&M have taken a hit as the company lowered its profit guidance for the year, struggling to make headway in an increasingly competitive market. The firm's share price dropped nearly five per cent in early trading, as reported by City AM. B&M, which has its head office in Liverpool, now anticipates earnings before interest, tax, depreciation and amortisation (EBITDA) to fall between £605m and £625m, a decrease from the previous range of £620m to £650m. For the year ending March 30, 2024, it reported EBITDA of £629m, marking a 9.8 per cent increase year on year and hitting the top end of its guidance. The revision is attributed to current trading performance, economic uncertainty, and potential exchange rate volatility. The UK retail sector has been under significant pressure due to dwindling consumer confidence and income, evolving consumer preferences, and rising wage bills. This poses a particular challenge for B&M as competition intensifies in its traditional market. Major supermarkets are vying for the discount market with price-matching schemes, while other discount chains are rapidly expanding their store networks. B&M shares have plummeted over 34 per cent in the past six months. However, analysts at Panmure Liberum remain optimistic, stating they "remained steadfast that the cash returns profile and the quality of the earnings means this remains a Buy." They have reduced their target price for the stock from 630p to 600p. Alex Russo is set to step down as CEO of B&M at the end of April, following a three-year tenure. The company's board has informed markets that it is in the "advanced stages" of appointing a new CEO and will provide further updates "in due course." Analysts at Panmure Liberum commented on the situation, stating, "The retirement of Alex Russo and a downgrade are unlikely to be mutually exclusive events... the performance of B&M has been disappointing for the past year." Reflecting on his time at the helm, Russo said: "I have thoroughly enjoyed my time at B&M... The business has been successfully steered through the pandemic years and is now larger and stronger with group revenues increasing by almost 50 per cent and cash distributions to shareholders in excess of £2bn during my tenure." He added, "It has been professionally rewarding to assemble and work with a high quality leadership team and to retire leaving growing businesses with great potential in both the UK and France. I wish the board and the leadership team every success in the years ahead."

Subway expands menu in major revamp as it faces fierce competition from Greggs

Subway has overhauled its menu as part of a new marketing strategy aimed at boosting UK sales. The fast-food giant will be testing a customisable jacket potato in 170 UK stores, attributing the decision to the potato's recent social media "renaissance" and "fame on social media," as reported by City AM. Deniz Safa, Director of Innovation & Culinary at Subway EMEA, stated that the move was due to the "surging popularity" of jacket potatoes and "growing consumer demand." Subway has been facing stiff competition from brands such as Greggs and Pret in recent years, with Greggs recently surpassing Subway in terms of total UK restaurants. Edurne Uranga, VP of Foodservice Europe at Circana, noted that quick-service restaurants like Subway are in "fierce competition... not just against each other, but also with major European supermarkets like Tesco, Mercadona, and Edeka." She added that "these grocery giants are becoming formidable rivals, offering convenient meal options that challenge traditional quick service food." "It's a battle for the consumer's palate, where both sectors are vying to capture the attention of hungry customers looking for convenience, variety, and value." In an effort to attract more UK customers, Subway rolled out its new store layout, Fresh Forward 2.0, last November. The chain described the plan as "the next iteration of its global restaurant image, designed to further enhance the guest experience, improve convenience and help drive franchisee profitability." Subway unveiled a significant menu refresh in 2023, which represented the brand's most substantial menu evolution in nearly six decades. Criticism arose concerning Subway's aggressive expansion strategy during the 1990s and 2000s, as it was argued that an oversaturation of outlets impeded the profitability of franchise partners. Operating under a franchise model, Subway enables independent business owners to manage individual stores under its brand umbrella. Despite closing approximately 7,000 global locations from 2015 to 2024, including over 400 in 2023 alone, Subway experienced a change in fortune after its acquisition by private-equity firm Roark Capital in May 2024 for $9bn (£7.12bn).

Energy bills set to soar by more than £110 in latest rise

The energy bills of millions of households are to rise by 6.4% from April 1 when Ofgem increases its price cap for a third consecutive quarter. The regulator said the increase, which will raise the average bill for households in England, Scotland and Wales on a standard variable tariff from the current £1,738 a year to £1,849, followed a recent spike in wholesale prices. The rise will equate to £111 for an average household per year, or around £9.25 a month, over the three-month period of the price cap. This is 9.4% or £159 higher than this time last year but £531 or 22% lower than at the height of the energy crisis at the start of 2023. Ofgem chief executive Jonathan Brearley said: “We know that no price rise is ever welcome and that the cost of energy remains a huge challenge for many households. But our reliance on international gas markets leads to volatile wholesale prices, and continues to drive up bills, which is why it’s more important than ever that we’re driving forward investment in a cleaner, homegrown system. “Energy debts that began during the energy crisis have reached record levels and without intervention will continue to grow. This puts families under huge stress and increases costs for all customers. We’re developing plans that could give households with unmanageable debt the clean slate they need to move forward.” Simon Francis, coordinator of campaign group the End Fuel Poverty Coalition, called for billions more in support for vulnerable customers. He said it was “crucial to provide support for vulnerable households struggling with energy costs now”, calling for £13.2 billion of support at the Government’s upcoming spending review. “The big question will be how do we pay for these improvements in support. Both Warm Home Discounts and debt relief are traditionally funded through our energy bills. “Yet the energy industry makes billions of pounds in profit every year and it beggars belief that Ofgem is increasing the profit allowance for suppliers in the current climate. For now, the advice for households is to make the most of existing energy efficiency schemes and if customers do shop around for a lower energy bill, they must use their own energy usage on price comparison sites.” Steve Vaid, chief executive at the Money Advice Trust, the charity that runs National Debtline, said: “The impact of high energy prices is clear to see. Energy arrears are now the second most common debt we are helping people with, behind only credit cards. “This latest price rise will only add to the challenges many people face in keeping up with their bills. Ofgem must press ahead with their plans for a Help to Repay scheme, to bring energy debt down, while the Government must urgently bring in targeted bill support through an energy social tariff. Anyone struggling with their energy bills, or worried about their finances, should contact a free debt advice charity, like National Debtline.”

Fashion firm Barbour launches second clothing collection with TV star Alexa Chung

Tyneside fashion firm Barbour has teamed up with TV presenter and model Alexa Chung to launch a new clothing collection. The South Shields firm, which can trace its history back to 1894, may have started out making waxed jackets for fishermen but its quilted coats and jackets are now worn by everyone from farmers and footballers to rock stars and royalty. And in more recent years Barbour has worked with famous names including ceramics designer Emma Bridgewater, House of Hackney, William Morris and film director Sir Ridley Scott, as it looks to widen the appeal of its clothing beyond its traditional base in rural communities. Now the firm – which has seen its star rise with young people after its jackets were worn by pop star Dua Lipa, Arctic Monkeys, Lily Allen,and Rufus Wainwright – has teamed up with TV star Alexa Chung for a second time, launching a new capsule collection and a campaign starring the presenter herself. Ms Chung, collaborated closely with the in-house design tea but was creative director and designer for the clothing collection, which draws inspiration from nostalgic camping days as well as Ms Chung’s festival styling. The collection includes outerwear, clothing and wellington boots, with showerproof jackets with tartan liners, bomber jackets with cord collars and knitwear made by Harleys of Scotland. It also includes rubber footwear, including a slip-on clog and a wedged wellington boot. She said: “I’m in love with the second collection I have designed for Barbour. I think the codes and language we have built together are now well established in that we create playful takes on Barbour’s heritage. My particular favourites in the collection are the bright yellow jacket and fire engine red raincoat. I really focused on colour and fun and I think that idea carried through to our camping trip themed shoot, with the legendary Tim Walker. This collection brings me so much joy and I hope you like it as much as I do.”

Boss of South West Water owner has 'regret' for pollution incidents

The boss of Pennon says she has “regret” for the pollution incidents caused by the utilities firm. Chief executive Susan Davy, whose company owns South West Water, Bristol Water, Bournemouth Water and SES Water, admitted to a group of MPs that "from time to time things do go wrong". There were 194 individual pollution incidents across the Pennon group between 2023 and 2024, and the company was fined £2.2m in 2023 for illegal sewage spills spanning four years across Devon and Cornwall. Ms Davy said: “I absolutely regret and do not condone those incidents and pollutions that we had. We do not want to harm the environment, that is not the activities that we undertake everyday. “We have hundreds of treatment works and thousands of pumping stations and from time to time things do go wrong.” The comments follow a major incident in Brixham, in Devon, last year, which saw a parasite outbreak in the water supply. The diarrhoea-inducing cryptosporidium was discovered in a reservoir in May, prompting 17,000 households to boil their drinking water for eight weeks. The company was compelled to clean and flush its water network 27 times, in addition to replacing sections of its grid. As a result, in November, Pennon revealed that its underlying pre-tax profit had plummeted from a £19.1m profit in the first half of last year to an £18.6m loss. Ms Davy told MPs on Tuesday: “I absolutely understand how devastating that incident was for that community and for the customers who were poorly… it was a really horrible time for them. I am always sorry when something happens whether to our customers or to the environment,” she added. Despite the company coming under fire for pollution incidents, Ms Davy saw her pay package jump 58% last year after picking up a £298,000 share award. Her total pay increased to £860,000 in 2023-24 from £543,000 the previous year. Last month, Pennon announced plans to raise £490m by issuing new equity shares through a rights issue. The company said at the time that investors would be able to acquire 13 new shares, at a cost of 264p each, for every 20 they already own.

Ann Summers reports £13.1m loss amid inflation and Google search challenges

Ann Summers has reported a deeper pre-tax loss of £13.1m for the year ending 29 June, 2024, as it faced "significant external pressures" that include the cost-of-living crisis, rising inflation, and Google's safe search restrictions. This comes after a previous loss of £3.8m in the preceding 12 months, as reported by City AM. According to its latest filings with Companies House, the retailer also saw its turnover dip from £104.5m to £93m over the same period. The company invested nearly £7m in the last financial year to drive growth. In terms of regional performance, Ann Summers witnessed UK turnover decline from £100.6m to £89.7m, European turnover fall from £3m to £2.8m, and turnover in the rest of the world drop from £919,882 to £503,231. Despite reducing store numbers from 85 to 80 in the UK, the firm increased its staff count from 1,114 to 1,180. Having last registered a pre-tax profit of £6.6m in the year to June 2021, the business has since accumulated a pre-tax loss of approximately £40m. Tackling issues with Google safe search, a statement from the board read: "The financial year 2023-24 has been a challenging yet transformative period for Ann Summers group." It continued: "Despite facing significant external pressures, we have made strategic decisions to position our business for future growth and resilience." Ann Summers has reported that its business was "notably impacted" by inflation and the cost-of-living crisis, which were "coupled with a tumultuous political landscape affecting consumer confidence and discretionary spending". The company also noted that its online sales "remained stable, despite challenges advertising online due to Google safe search restrictions and Meta blocking issues". Ann Summers highlighted its third-party partnership with Asos as being "one of the standout successes of the year". The firm stated: "Despite the tough trading environment, we have continued to support the strategic growth of the business, investing £6.8m within the period. "During the year we invested heavily in delivering large-scale strategic projects, which launched just after the period ended. "We launched our brand new website Knickerbox which helps overcome our limitations from Google safe search." In addition, significant investments were made in technology, including the implementation of a new product information management platform. This has streamlined operations and enhanced customer experience, while also improving delivery and fulfilment capabilities. Looking ahead, Ann Summers said: "We are committed to continuing our investment in growth and transformation. "We have a clear strategy in place to navigate the current economic challenges and emerge stronger.

Investors urge Shein to slash IPO valuation by two-thirds as it plans London debut

Fast-fashion behemoth Shein is facing investor pressure to cut its valuation by two thirds from its peak, should it proceed with its anticipated float on the London Stock Exchange later this year, a report suggests. Shein was valued at $66bn (£52bn) in a funding round in 2023 and as high as $100bn in 2022, but a Bloomberg News report on Monday indicated that its backers are urging a reduction in its valuation to $30bn, as reported by City AM. The "cavernous gap" between Shein's past and potential stock market valuation improves the chances of the IPO proceeding, according to two major investment platforms. "It makes sense that investors want a discounted valuation for Shein before agreeing to back the IPO", stated AJ Bell investment director Russ Mould. "Slashing the valuation gives the IPO a better chance of going ahead... There are so many risks involved with the investment case that investors will want a cut-price deal as compensation," Mould added. Obstacles to Shein's debut on the London Stock Exchange include queries over its alleged use of forced labour in its supply chains, supposed intellectual property infringements and concerns about governance and transparency. The latest worry has been the threat to its business model posed by US President Donald Trump. Trump has vowed to close a shipping loophole which allows fast-fashion giants Shein and Temu to evade customs and tariffs when shipping small packages of goods. The EU may follow suit "[Shein] is highly reliant on keeping prices low and this has been helped by the firm not having to pay import duties on millions of low-value packages," commented Susannah Streeter, head of money and markets at Hargreaves Lansdown. "If Shein can't compete so easily on price in major markets like the US and the EU, it'll be a much harder sell [to investors], particularly given it also faces claims of environmental recklessness and poor working conditions in its supply chains," she added. Despite these challenges, both Streeter and Mould anticipate that the IPO will proceed, though possibly at a reduced valuation. "The fact Shein is still battling it out suggests it remains confident of getting enough investor support to list its shares," stated Mould.

New Lidl supermarket to be built on edge of Somerset town

As many as 40 new jobs are set to be created on the southern outskirts of Bridgwater following approval for a new Lidl supermarket near the M5. Lidl GB Ltd submitted an application in January 2024 to construct a new store on Carnival Way within the Bridgwater Gateway site, which is slated to eventually house nearly 500 new homes and commercial units just a stone's throw from junction 24 of the motorway. After about a year of consultation, Somerset Council has greenlit the plans, meaning construction could commence before the year's end. This approval will also expedite the creation of a new pedestrian crossing over Wilstock Way, ensuring safer access between the new homes and local amenities via the Wilstock and Stockmoor Country Park. The new store will be situated on the southern side of Carnival Way – just east of the Costa Coffee drive-thru outlet, where Domino's Pizza and Greggs are also planning to open new units – and south of new industrial units which received planning consent in May 2023. Access will be from Carnival Way, with provision for 105 parking spaces – including six accessible spaces, nine parent and child spaces, two electric vehicle charging bays and 12 motorcycle spaces. Pedestrian access will be facilitated along Carnival Way and the A38 Taunton Road using the existing walking and cycling network. German supermarket group Lidl, has consented to contribute some £31,200 towards the creation of a new signal-controlled crossing over Wilstock Way. This crossing will connect the Wilstock and Stockmoor housing estates to the A38, facilitating access to the store for local residents and enabling future inhabitants of the Bridgwater Gateway homes to walk or cycle to Somerset Bridge Primary School without traversing the bustling main road. Dan Templeton, director of Planning Potential and acting on behalf of the supermarket, said: "It is not within Lidl's gift to provide a pedestrian access directly from Wilstock Way. "Lidl has committed to providing a financial contribution towards the delivery of a new light-controlled pedestrian crossing on Wilstock Way, which will be secured through a Section 106 agreement. "This will ensure that an improved crossing point is provided for customers visiting the store from the Wilstock and Stockmoor area to the north. "The crossing itself will be delivered by Somerset Council's highways department as part of planned improvements to the local area." Lidl also recently contributed to the extension of the Strawberry Line active travel route with its new, larger outlet on the A39 Strawberry Way in Wells, which opened in late January. The plans for Carnival Way were approved via the council's planning officers' delegated powers, rather than by a public decision by its north planning committee, which typically handles major applications within the former Sedgemoor area. Construction on the new store is anticipated to start later in the year.

UK retail sales beat expectations in January amid discounting

British shoppers made a comeback in January, as bargain hunting drove the first monthly increase in retail sales volumes since August of the previous year. According to the Office for National Statistics (ONS), retail sales volumes rose by 1.7% in January, following a 0.6% decline in December, surpassing analysts' expectations of a modest 0.3% growth, as reported by City AM. This surge was largely attributed to a 5.6% increase in food sales, which experts believe was fueled by spending on discounted items. However, sales volumes at non-food stores, including department, clothing, and household shops, dropped by 1.3% over the month, with retailers and household goods stores citing reduced consumer confidence as the primary cause. Alice Cowley, Retail Strategy Managing Director at Accenture, noted that the results were "not the splash retailers will have wished for," as consumers continued to be frugal with their spending post-Christmas. Cowley added, "This past three-month period has fallen short of expectations for many, as shoppers increasingly prioritised essentials only in non-food categories and turned to own label food products, weakening margins." Analysts have cautioned that relying heavily on discount spending will further erode already-thin profit margins, a situation that will be exacerbated by significant tax increases set to hit the retail sector in April. The British Retail Consortium (BRC) has warned that the sector will face an additional £7 billion in costs due to the combined effects of a higher minimum wage, packaging tax, and changes to employer's national insurance contributions. Kris Hamer, Director of Insight at the British Retail Consortium, has expressed concern over the unpredictable nature of the retail sector in the coming months: "With consumer expectations for the economy falling almost 40pts since July 2024 and an unsteady job market, the next few months are hard to predict." He also highlighted the financial strain on the industry, stating, "This boost to sales barely touches the sides of the £7bn in new costs from the Budget and packaging levy facing the industry this year." Earlier in February, a group of influential retailers warned that hundreds of thousands of jobs could be jeopardised in the retail sector due to unsustainable cost increases this year. Peel Hunt has projected that retail firms within their coverage will experience an average pretax profit drop of 7.5 per cent due to the Budget's tax hike, with some companies being more severely impacted than others. Matt Dalton, Consumer Sector Leader at Forvis Mazars, urged caution when interpreting recent figures: "A closer look at the numbers suggests that there may not be as much to celebrate as one may think."

Plans to turn Carlisle station waiting room into bar approved

An unused waiting room at Carlisle station is set to become a bar after refurbishment plans were approved by Cumberland Council. The proposal sought permission to refurbish the disused waiting area and adjacent spaces, formerly a kitchen, into a commercial venue featuring a bar and additional seating area. Planning approval was granted this month with the decision notice outlining several planning conditions. A related report mentions: "The platform four first class waiting room has remained largely in use since it opened in 1880, albeit with a number of changes in how it is operated. It adds: "The most recent operation was as a public house, which unfortunately closed due to its poor commercial offering. "Some original doors remain, whilst others have been replaced or removed entirely. The space is generally in good condition, although there are a number of weathered spots and cracks in original elements such as the fire places, timber planks of the roof and lower panelling that would need minor repairs. "The flooring throughout is generally in poor condition, with removal of floor finishes recommended to assess the condition of floor joists. This would also allow the original floorboards to be exposed to assess any repairs required. "Roofs appear to be in good condition and windows are in fair condition, with some limited repairs to cracked glass required. "Internally walls are assumed to be the original lime plaster with low level timber panelling. There are some signs of blown plaster due to either condensation from poor air circulation or moisture due to the lack of waterproofing on certain walls. "Modern fixed furniture and mechanical and electrical installation would require removal, but this is not expected to affect the original fabric of the building significantly, but some repair work is likely to be required to make good."

McDonald's to create 120 jobs with new 24-hour drive-thru – despite council objections

A new 24-hour McDonald's drive-thru that could create more than 100 jobs has been greenlit for construction despite objections from the local town council. Cheshire West and Chester Council's planning department has given the thumbs-up to the project, which will occupy vacant land on Road Six at Winsford Gateway, part of the Winsford Industrial Estate. According to a planning statement in support of the scheme, the endeavour is expected to create 120 full- and part-time positions, alongside 375 direct and indirect roles during the construction phase. The plans outline 36 parking spaces and eight cycle spaces. The statement highlights that McDonald's already operates a drive-thru restaurant roughly 2km southwest of the proposed site at Wharton Retail Park. It adds: "McDonald's has identified a commercial opportunity to provide a second drive-thru restaurant to serve the local population, relieving pressure on the existing Winsford restaurant thereby improving customer experience." Winsford Town Council had lodged an objection over health concerns, but a Cheshire West planning officer's report responded, "The town council's concerns regarding health impact are noted and considered. "The site is over two miles from any local schools and this location is not considered to be a place where children or young people would congregate." The report also stated that an existing access point on Road Six will be utilised for entering and exiting the site and that pedestrians can use existing footpaths to access the site. The company emphasised that pedestrians would be given priority within the car park as well as across the drive-thru lane, with plans to include pedestrian links and zebra crossings. Moreover, another zebra crossing is being proposed close to the site. The development expects not only to serve local residents and businesses but also to draw in passing motorists. Concluding their report, they expressed confidence in the project stating: "Overall, the proposals represent a sustainable, high-quality development that will facilitate the delivery of economic investment and enhance the offer of Winsford Gateway and Winsford Industrial Estate for employees and visitors alike."

Nikon's profit falls by half as it admits demand is waning

Nikon's European division has seen its pre-tax profit halved amid a slump in demand within its healthcare business, the company disclosed. The Japanese firm reported a pre-tax profit of €13.5m (£11.2m) for the year ending 31 March, 2024, as per the latest accounts filed with Companies House, as reported by City AM. This is a significant drop from the €26.8m pre-tax profit recorded in the previous financial year. Additionally, turnover in Europe dipped slightly from €478.2m to €475.4m. However, in the UK and Ireland, Nikon experienced an increase in turnover from €56.5m to €58.5m, while Germany remained its largest market despite a decrease in sales from €107m to €105.1m. The board's statement highlighted: "The imaging products business focused on expanding sales of mid- to high-end products and interchangeable lenses targeted for professionals and hobbyists, especially Z8, Zf and other Z series full-frame mirrorless cameras." It also noted that "Both unit sales and sales amount remained solid in the digital camera market as a whole, backed by strong sales of the mid- to high-end products." Regarding the healthcare sector, it was mentioned that "In the healthcare business, the life sciences solutions and eye care solutions markets largely remained solid, although a decline in demand due to rising interest rates and other factors was observed." These results follow a report from City AM in October 2024 stating that Canon UK had not managed to return to profitability during its latest financial year, despite a near £100m increase in sales. Canon UK, based in Uxbridge, has managed to decrease its pre-tax loss from £7.3m to £5.1m in 2023. Not since the £67.7m pre-tax profit reported in 2021 has the company experienced a surplus. The firm also witnessed a substantial increase in turnover, rising from £282.3m to £376.5m over the year. Nikon, commenting on the future prospects, stated: "The digital camera market, especially for mid- to high-end products, is expected to remain solid." It also noted: "In the precision equipment business, capital investments in the field related to FPDs [flat panel display], including both mid-to-small size panels, and large-size panels, will be solid." Additionally, they forecasted: "In addition, capital investments in the semi-conductor field are also expected to improve from the second half with the positive effects of the recovery in the semiconductor market conditions." Furthermore, for the healthcare division, Nikon said: "While the market conditions in the fields of life science solutions and eye care solutions are expected to largely remain steady, we need to continue to closely monitor changes in customer behaviour against the backdrop of political and economic trends in each country."

'Inspiring' restaurant with roast dinners and music seeks council approval for expansion

A Liverpool venue which is renowned for its roast dinners, Ten Streets Social, has been described as an "inspiration" as its operators seek council approval to secure the business's continued growth. The venue, located on Regent Road in the Ten Streets regeneration zone, has become popular with diners and community groups since its 2020 opening in a formerly disused taxi repair site. As Ten Streets Social enters its fifth year, its operators have submitted a planning application to Liverpool Council, outlining proposed changes. The application seeks permission to retain the site as a mixed cafe/restaurant, bar and music venue, with daily operating hours from 7:30am to midnight. The plans include internal alterations focused on improving accessibility, such as installing level access at the front, a platform lift, and ramped access to the stage, back room, and a lowered bar area. More than 3,000 people across two petitions signed their support for the scheme, complemented by nearly a dozen letters of support following consultation with 30 neighbouring properties and businesses. The venture received support from the public, with one individual hailing it as "an inspiration to the city" and others praising how the young entrepreneurs transformed an unused space into a bustling venue that champions community spirit. A supporter stated: "The use will be a catalyst for future growth of the area." Joseph Burns, who operates the venue, was granted a premises licence for Ten Streets Market on Cotton Street in February 2023 after securing a decade-long lease. Speaking at a licensing hearing, Mr Burns made it clear that the venue was about more than dance events: "It’s not just raves we’re doing." He continued by emphasising the venue's local ties: "We have a good relationship with the community, we are the community, we live three streets away." Plans for Ten Streets Social are set for review by Liverpool Council's planning committee at Liverpool Town Hall on Tuesday, February 18.

Crazy golf course themed around Blackpool history wins support

A proposed crazy golf course has garnered significant support from the community, with some 180 comments and letters backing the plan. Residents across the Fylde coast have submitted comments to Blackpool Council, advocating for the planning application by the Tee Time Golf Centre on Fleetwood Road in Norbreck. The centre, which already features a nine-hole par 3 course and a 25-bay driving range, aims to construct a 12-hole adventure mini golf course aimed at encouraging young players to take up the game. If approved, the mini golf course would boast a heritage theme celebrating Blackpool's rich history. Local councillors Julie Sloman and Paul Galley have voiced their support for the investment, with Cllr Sloman highlighting the lack of youth provisions in the north of the town. In a letter to the planning department, she said: "I am particularly inspired by this application as it will be accessible to children and young people who may have some physical limitations or whom have sensory processing difficulties. Cllr Paul Galley also expressed his backing for the project, commenting: "Having this project nearby will provide a fantastic new opportunity for residents to engage in outdoor activities and get into golf. Its accessibility, within walking distance for many, makes it a valuable addition to our area, encouraging more people to get active and enjoy the benefits of outdoor sport." Some 10 objections have also been lodged against the proposed changes, chiefly from nearby residents concerned about noise disturbance and the risk of golf balls encroaching into their properties. One resident said they had seen an incident when "a full golf club landed in the middle of our lawn", while another highlighted the potential hazards, saying: "People get frustrated playing golf and will end up hitting the ball hard, damaging people's fences, or worse hitting the ball over the fence into people's gardens. A friend of ours lost his eye by being hit by a golf ball, the home owners shouldn't have to live with that risk." The site, which has served as a golf facility since 1968, is leased from the council that owns the larger surrounding area. Andy Lee has been at the helm of the current management team since 2012.

Luxury stocks bounce back as high street brands Asos and Primark struggle

Luxury stocks are once again outpacing high street brands as investors anticipate a luxury resurgence. Brands that faced difficulties last year, such as Burberry and Kering, are making a comeback, while firms heavily reliant on physical stores like Primark are finding it tough, as reported by City AM. The top ten luxury retailers by market cap have seen their stock price increase by an average of 19 per cent so far this year. In contrast, high street stocks have only risen by 11 per cent, with the share prices of JD Sports, Asos and Primark-owner ABF declining in the past two months. The average performance of high street stocks has been buoyed by German retailer Zalando, which has seen a 23 per cent rise in its share price this year. The e-commerce giant's share price has rocketed by 101 per cent over the past year, significantly outperforming its competitors. "Over the past year, lower-cost high-street brands fared better in general as value-conscious consumers prioritised affordability amidst sticky inflation," said Lale Akoner, global market analyst at eToro. "Yet some of the most recognisable names to British shoppers within our basket – Asos, JD and Primark – were not part of this growth. Instead, they were burdened by persistent inventory and profitability issues, highlighting the pressures facing fast fashion in a competitive, discount-driven environment." Seven out of the ten largest listed high street firms have seen their share prices fall over the past five years. Despite a significant downturn in the post-pandemic period due to weak demand from China and overstretched European consumers, luxury is making a comeback. Burberry is poised to rejoin the FTSE 100 after being dropped from the index last September, and even Kering, which has been struggling, has seen its share price increase by 19 per cent since the start of the year. The luxury sector received a boost following impressive results from Richemont in January, which lifted luxury stocks globally. RBC analysts Piral Dadhania and Richard Chamberlain predicted late last year that the luxury market would see an upturn in 2025, with promising opportunities in North America and a stabilisation of the Chinese market. "Whilst luxury has generally been a tough sector [in the second half of 2023 and in 2024]... the setup is improving," the analysts stated. However, Akoner cautioned that "it will take some time for [troubled stocks] to claw back their share price, especially as the Chinese economy is still facing challenges." Hermes continues to outperform, with its stock price increasing by 296 per cent over the past five years and 21 per cent since the start of the year.

Andy Burnham wants 'proper levy' on tourist hotel stays in Greater Manchester

Andy Burnham is advocating for the implementation of a 'tourist levy' to be paid by visitors staying in Greater Manchester from outside the region. The metro mayor has expressed his desire to replace the current voluntary 'city visitor charge', which is an optional £1-per-night fee, with a mandatory tax. The current scheme funds the local Accommodation Business Improvement District (ABID), supporting tourism promotion and additional cleaning services near hotels. Burnham called for "a proper levy" and clarified that it would not affect residents of Greater Manchester already staying within the city-region's hotels when questioned on BBC Radio Manchester. He said: "We would like it to be a proper levy. I would like a scheme that's mainly about visitors to Greater Manchester,. "People pay their council tax and they do not generally stay in hotels. I know it happens but largely it's about people coming into the city-region. "I am putting the case to the government for a tourist levy. Edinburgh has brought one in. I think Glasgow have voted to bring one in. Wales are looking at it as well." The mayor made the point that British tourists are subjected to a tourist tax when holidaying in certain European countries and therefore believes it appropriate that visitors to the UK should be levied similarly. He added: "In an era where we are struggling to raise funds from the public here it feels right to me [when there's] the levy British tourists pay in France, Germany, and Italy... why should people from there not pay one? " The city visitor charge brought in roughly £2.8m in its first year, and according to the ABID, no grievances have been flagged by guests at hotels participating in the program. Last year, Kumar Mishra, in his capacity as general manager of The Edwardian hotel, said the fee was instrumental in attracting major conferences and events. It funded counter-terrorism and security training for those providing accommodation and contributed financially to the enhancement of street cleaning services in the city centre.

Club L London almost triples in size as it targets international expansion

Fashion retailer Club L London is eyeing international expansion after its sales and workforce nearly tripled over two years. The Manchester-based company reported a turnover of £44.4m for the 14 months ending 31 March, 2024, according to recent filings with Companies House, as reported by City AM. This surge in revenue follows a previous year's turnover of £29.5m and £15.7m the year before that. The firm also saw its staff numbers grow from 64 to 94 in the latest financial period, up from 35 employees in January 2022. Despite the impressive sales growth, Club L London experienced a slight decline in pre-tax profits, dropping from £3.6m to £3m. The company attributed this dip to "poor consumer confidence" driven by "high and persistent inflation and a cost-of-living crisis". Nevertheless, the directors remain optimistic, expecting pre-tax profits to exceed the levels seen in January 2023 by 2025. The business anticipates further growth both domestically and internationally. The board's statement highlighted the brand's continued growth during the extended 14-month financial period, despite economic challenges: "The extended 14-month financial period... was a period of continued growth for the brand." It also acknowledged the difficult economic environment: "This is despite a backdrop of poor consumer confidence caused by high and persistent inflation and a cost-of-living crisis."

Bristol opticians relocates after nearly 30 years in old city

An independent Bristol opticians has relocated to new premises after nearly 30 years in the old city centre. Bramley Pope opened on St Stephens Street in 1997, catering for people working in central Bristol or in nearby offices. The company was established by Philippa Bramley and her friend Roger Pope, whose London-based optician was granted two Royal Warrants and supplied glasses to Queen Elizabeth II and to King Charles III when he was Prince of Wales. Despite a host of challenges following the Covid pandemic, including a reduction of office workers to the old city, the business "weathered the storm" and has now moved to North Street in Bedminster. Dispensing optician Mark Ilett, who joined Bramley Pope 10 years ago and has taken over the running of the business, said: "[It's] an environment that I think this little business will do very well in and hopefully we will add something to the area. "For years we looked after people that worked in the centre and in nearby offices and people that were happy to travel to us for the service and the specs we offer. "Unfortunately, fewer people come to the offices now and the changes to the local area have meant that travelling to us has become very difficult for a lot of people and impossible for people that needed to get door to door and we got to a point where it really looked like our time was up." Mr Ilett said he had "thought for a while" about moving the practice somewhere else, but when the North Street site became available he decided to take the "massive risk" and relocate. He has signed a seven-year lease on the new premises. He added: "I used to live down here so I have a bit of an affinity for the area and I like the feel of this end of North Street, particularly. It's amazing for me to see the difference down here since I lived here about nine or 10 years ago. Some of the same places I used to use and a load of really cool little indies doing things ethically and with pride in their work. "It feels like a really nice place to be doing business and if the reception and interest we've had in the couple of weeks since we opened is anything to go by, then our little business will be a fine addition to the community and look after people's eyes for another 20 odd years."

'VAT costs are killing industry' - Exeter salon boss warns chancellor ahead of Spring Statement

An Exeter hairdresser is among UK salon owners urging the chancellor to throw the sector an "economic lifeline" as a new report highlights how an unbalanced tax system is "decimating" the industry. Nathan Plumridge, owner of Darts Farm-based Energy Hair, has warned VAT costs are "killing the industry". His business, which employs 25 staff, is also about to see its wage bill rise by £50,000 following Rachel Reeves' national insurance (NI) hike for employers. "It’s not a pretty picture for the industry," he told Business Live. "It’s really alarming. When you look at the amount of salons shutting down and then reopening up as a self-employed salon. It’s having an impact on education and standards." Mr Plumridge says the main issues for salon owners are increased NI contributions and rates of pay. He says the costs will make a "massive dent" in the number of apprentices business like his can afford to take on. "Business are not going to be employing as many people because of the cost and it stifles growth. A lot of salons are still reeling from the impact of Covid and the problems are being compounded by these other financial challenges." The entrepreneur says salons are "cautious" about hiking prices, but rising costs may mean there is no option but to do it. "If nothing is announced [in the Spring Statement], it will lead to more closures within the sector. It’s a micro industry and run generally by owner operators who are on the floor… people are still feeling the impact of Covid and any additional pressure is coming out of the bottom line. So what do you do?" According to analysis commissioned by independent consultancy CBI Economics, unless changes are made within the industry there will be no new apprenticeships by 2027 and a 93% fall in employment by 2030. The British Hair Consortium, which represents 50,000 UK hairdressing professionals, is calling for Rachel Reeves to halve the VAT salons pay on labour costs to 10% to help them overcome recruitment challenges. “Our industry has been ignored for years and we’re calling on the government to correct decades of mismanagement,” said Toby Dicker, co-founder of the British Hair Consortium. “Most owners haven’t had a pay rise in many years and simply can’t consider expanding their business, let alone take on an apprentice. “A one-size-fits-all tax system doesn’t work and has created an unlevel playing field. Increasing numbers of owners are either closing their salons or changing their employment practices and are renting chairs to contractors just to survive. This report shows how cutting VAT to 10% won’t cost the Government a penny. It would save salons across the country and ensure the future of our industry which sits at the heart of the high street.”