The government is contemplating extending Sunday trading hours for supermarkets, potentially allowing them to operate longer on Sundays. Currently, large stores in England are restricted to opening for six consecutive hours between 10am and 6pm on Sundays, with closures mandated on Easter Sunday and Christmas Day. However, smaller shops under 280 sq metres are not subject to these limitations and can open at any time on Sundays.
Reports from The Grocer suggest that there are informal discussions among Treasury sources about relaxing Sunday trading regulations, as there is a growing concern over the upcoming business rates reforms. This move is part of a larger strategy that includes passing a bill to introduce a higher business rate multiplier for properties with a rental value exceeding £500,000, with the aim of subsidizing lower rates for smaller businesses.
While the possibility of changes to Sunday trading rules remains uncertain, previous attempts have faced opposition from various stakeholders. Retailers have expressed mixed opinions, with some supporting extended trading hours while others oppose the idea. Political parties, such as the Conservatives and Labour, have differing views on the matter, with considerations about maintaining the special nature of Sundays and concerns from unions being key factors.
Businesses are also grappling with increased costs, including a rise in the National Insurance rate for employers and adjustments to minimum wage rates. The minimum wage has been raised for different age groups, impacting workers aged 21 and over, those aged 18 to 20, as well as under-18s and apprentices. Major supermarket chains like Tesco, Asda, and Sainsbury’s have jointly addressed Chancellor Rachel Reeves, warning about potential job losses, higher inflation, and store closures due to escalating costs.
The government argues that the tax hikes are necessary to prevent cuts to public services, and the minimum wage increase is intended to benefit younger workers and apprentices. These changes come amidst a challenging economic environment, with businesses navigating through various financial challenges and uncertainties.