The value of retail sales contracted in Scotland in the final quarter of 2015 and for last year as a whole. That’s according to the Scottish Government’s latest Retail Sales Index, which was published today (3rd February).
David Lonsdale, Director of the Scottish Retail Consortium, said retailers were having to work “ever harder” to maintain let alone grow sales at a time of profound structural, economic and regulatory change for the industry.
Retailers will have to respond by investing in new technology and a more skilled workforce, Lonsdale added.
“That is all the more challenging against a backdrop in which retail sales are weak, shop prices are falling and a seemingly relentless rise in government-imposed tax and regulatory costs. Indeed, the cumulative burden of government-imposed cost increases has become an acute issue for retailers,” he commented.
Lonsdale repeated his call for Scotland’s political parties to commit to a review of the business rates system in their election manifestos, and looked for Holyrood’s collaboration with the industry to develop a joint strategy to nurture the growth of retail over the next ten years.
“With half of VAT receipts set to be assigned to the Scottish Parliament our politicians have a direct stake in facilitating a flourishing retail industry,” he concluded.
