People’s December shopping is in crisis due to the effect of Chancellor Rachel Reeves’ budget. Retailers are complaining that people are now cutting back on shopping as a result of the budget. The Chancellor’s £30 billion tax cut is tightening the purse strings of customers. The Black Friday sales in November were a huge setback.
Shops fear this will happen again . Moreover, they are worried that the situation is unlikely to improve in the New Year. Shops usually show a sense of relief in preparation for Christmas.
The rise in business rates due to Labour policies, the hike in Employers’ National Insurance and the sharp increase in the minimum wage are all hurting businesses. Along with this, trade is also declining. ‘The setback on the high street is being felt in pubs, restaurants and even car showrooms. The Confederation of British Industry said sales were down compared to the previous month.
