Beware, beware, do we need to beware of the Budget Bogeyman later this month?

She's damned if she does, she's damned if she doesn't, or is she?

Rachel Reeves, Chancellor of the Exchequer

Firstly. as the fashion industry well knows, timing is everything. Ms. Reeves, if you are reading this, the month before Christmas is critical to cashflow for many businesses. What they make in that crucial month covers well into Q2 of the next year. Uncertainty about the Budget therefore has not been an ideal addition to John Lewis adverts and a surfeit of sequins on our shopping rails. It risks a spending freeze, on top of the hiring freeze, the unintended result from the last fiscal event, when NICs were unexpectedly increased. A further note on retail, raising VAT is not going to help us sell and boost growth. Removing the barriers to tax free shopping would.

Retail sales volumes fell again in October; the CBI Distributive Trades Survey showed continued decline and retailers blaming “Budget uncertainty” for weakening consumer sentiment.

Fashion Roundtable Value of Fashion 2024 Map

Last week’s press conference, where difficult choices where floated, but not confronted, does not allay consumer or business - or indeed arguably voter - confidence. We are already “doing our bit.” Many have been since the Brexit/Covid double whammy. The say “what it says on the tin” adage comes to mind. Rachel, therefore please bear in mind that for every 1% fall in consumer confidence there is £400 million less spend in apparel & accessories within 8 weeks. It’s the very definition of consumer confidence equating with money in the bank. Of England.

According to Make It British, if every UK adult spent £50 with a business that makes in the Britain, that is £2.75bn into British SMEs across the UK.

So what do we think you need to do?