We can achieve economic growth together, say industry leaders
CONVENIENCE retail and supply chain leaders say they are looking forward to working with new Prime Minister Keir Starmer and the Labour Government to grow the UK economy.
They have also highlighted key policy areas where they hope the incoming Westminster administration will take heed of what business has to say.
The Scottish Grocers’ Federation (SGF) believes it can further develop ties it built with Labour while the party was in opposition to the Tories.
Chief executive Pete Cheema said: “SGF developed a good working relationship with the new Scottish Secretary, Ian Murray, during his time as a shadow minister.
“We hope to continue to have regular engagement with both him and his colleagues in the UK cabinet.
“We also have good connections with officials in the Scotland Office and in key departments such as DEFRA, which will be important to maintain as we build up a picture of the priorities of this new government.”
He said the SGF expected to see issues such as the national living wage (NLW), restrictions on tobacco and vaping products and the deposit return scheme (DRS) to come back to the fore.
He continued: “However, rebuilding a stable UK and Scottish economy needs to be front and centre.
“Retailers and the convenience supply chain need a period of certainty, with fewer fiscal shocks, a move towards public education instead of top-down regulation, and more opportunities to encourage investment.”
The Fed’s national president, Blantyre retailer Mo Razzaq, said he hoped Labour would honour its pledges to follow Scotland’s lead and make attacking a retail worker a standalone offence south of the border, as well as put more police on the beat to crack down on anti-social crimes.
He also urged the Government to speed up the introduction of DRS across the UK.
Razzaq said: “We look forward to working with the new Government to ensure that independent retailers can continue to play a key role in their communities.
“The Fed has always supported the introduction of a DRS that works for businesses and consumers, which is why we are eager to see legislation that will progress this at the earliest opportunity.”
However, he urged caution over plans to scrap the age bands for the NLW. He said: “As responsible employers, we want to pay our staff a fair wage for a fair day’s work.
“However, it should be borne in mind that many small shops are struggling to cope with soaring costs.
“Removing age bands for the NLW could well be the tipping point for independent stores that are fighting to stay in business in the current economic climate.”
British Retail Consortium chief exec Helen Dickinson said that, as a major source of employment and investment, retail could help Labour achieve its policy goals – including reform of the “broken” business rates system.
She said: “Finding ways to unlock retail’s contribution over the next five years should be a shared endeavour between the new Government and the retail industry.
“With retail paying 22% of the total rates bill while accounting for 5% of the economy, it is the number one thing blocking increased retail investment – which could unlock growth across the economy.”
Karen Betts, Food and Drink Federation chief, said the sector could help the drives towards food security, sustainability and healthier diets, as well as create opportunities for people, communities and the economy.
She said: “With the right conditions, our industry can boost investment, productivity, innovation and growth across our economy.
“There is huge scope to improve trade, too, and to grow skills everywhere throughout the country, offering more people good jobs and great careers in a sector that’s central to everyone’s everyday lives.”
Meanwhile, Unitas Wholesale boss John Kinney urged Labour to listen to its members and take a practical approach over challenging issues such as NLW, a ban on the sale of energy drinks to under-16s and controls on ultra-processed foods.
