Latest news with #financialstruggles
The Sun
15 hours ago
- Business
- The Sun
Full list of 43 shops and banks vanishing from British high street forever in July – is your local closing?
MAJOR retailers and banks will close several stores for good this month as the high street continues to face difficulties. The closures come as UK businesses continue to faced increased costs alongside a decline in footfall. Changes in this year's budget, including an increase in employer National Insurance contributions and energy and rent costs have piled on pressure for companies. As a result, some retailers have been forced to make drastic changes to remain competitive. This includes hiking prices, reviewing expansion plans and reducing the number of stores they have. Here is a full list of the shops and banks we know are shutting in July 2025. The Original Factory Shop The discount high street chain closed nine shops in June after previously warning it would have to shut some 'loss-making' locations. This comes after the discount chain began to struggle in recent years. And now the retailer is now set to close its location in Staveley, Cumbria on July 12. The private equity firm Modella bought The Original Factory Shop in February and has since launched a restructuring effort. This was carried out in an effort to renegotiate rents at 88 The Original Factory Shop stores across the country. Modella also recently bought Hobbycraft and WHSmith's high street shops. Co-op Faces Uncertain Future: 34 Stores at Risk Amid Financial Struggles Iceland The supermarket chain will close its store on Rose Street in Inverness on July 12. There will no longer be any Iceland stores in the Scottish city, with the closest located in Aberdeen. This move will come just weeks after Iceland shut down its Margate branch. The retailer has not yet confirmed the reason for the sudden closure but it has been completing a broader reshuffle of its operations in recent months. This is part of an effort to adapt to shifting consumer habits, cost pressures, and the growing demand for convenience and online shopping. Why are retailers closing stores? RETAILERS have been feeling the squeeze since the pandemic, while shoppers are cutting back on spending due to the soaring cost of living crisis. High energy costs and a move to shopping online after the pandemic are also taking a toll, and many high street shops have struggled to keep going. However, additional costs have added further pain to an already struggling sector. The British Retail Consortium has predicted that the Treasury's hike to employer NICs from April will cost the retail sector £2.3billion. At the same time, the minimum wage will rise to £12.21 an hour from April, and the minimum wage for people aged 18-20 will rise to £10 an hour, an increase of £1.40. The Centre for Retail Research (CRR) has also warned that around 17,350 retail sites are expected to shut down this year. It comes on the back of a tough 2024 when 13,000 shops closed their doors for good, already a 28% increase on the previous year. Professor Joshua Bamfield, director of the CRR said: "The results for 2024 show that although the outcomes for store closures overall were not as poor as in either 2020 or 2022, they are still disconcerting, with worse set to come in 2025." It comes after almost 170,000 retail workers lost their jobs in 2024. End-of-year figures compiled by the Centre for Retail Research showed the number of job losses spiked amid the collapse of major chains such as Homebase and Ted Baker. It said its latest analysis showed that a total of 169,395 retail jobs were lost in the 2024 calendar year to date. This was up 49,990 – an increase of 41.9% – compared with 2023. It is the highest annual reading since more than 200,000 jobs were lost in 2020 in the aftermath of the COVID-19 pandemic, which forced retailers to shut their stores during lockdowns. The centre said 38 major retailers went into administration in 2024, including household names such as Lloyds Pharmacy, Homebase, The Body Shop, Carpetright and Ted Baker. Around a third of all retail job losses in 2024, 33% or 55,914 in total, resulted from administrations. Experts have said small high street shops could face a particularly challenging 2025 because of Budget tax and wage changes. Professor Bamfield has warned of a bleak outlook for 2025, predicting that as many as 202,000 jobs could be lost in the sector. "By increasing both the costs of running stores and the costs on each consumer's household it is highly likely that we will see retail job losses eclipse the height of the pandemic in 2020." Poundland After a series of closures in the past few months, Poundland is set to shut down its location in Deepdale Retail Park in Preston on July 5 and another store in Newquay on July 30. Gordon Brothers, the ex-owner of Laura Ashley, purchased the business from Polish owner Pepco Group for £1 after a downturn in trading. The new owners are asking the court for permission to close 68 stores and negotiate lower rents on others. Up to 82 more stores are potentially at risk of shutting down in the future. However, before the sale was agreed, Poundland had already planned to close 18 stores, with the July shutdowns among the last to be confirmed. New Look The famous fashion retailer is set to close another location at the beginning of July. Hamilton, Scotland will see its New Look store permanently pull the shutters on July 1. The move comes after the shop announced it would be closing nearly 100 stores in the coming months. A New Look spokesperson said: 'Our store in Hamilton is set close on July 1. We would like to thank all of our colleagues and the local community for their support over the years. "We hope customers continue to shop with us online at where our full product ranges can be found.' Santander Santander is set to close 38 branches next month after announcing locations were struggling due to the increase in online banking. A statement on the Santander website reads: "We last did a major review of our branches in 2021. "Since then, many of our customers are choosing to use Mobile, Online and Telephone Banking more, and branches less." The Santander locations set to close in July are: Armagh July 1 Bognor Regis July 14 Borehamwood July 1 Caernarfon July 7 Camborne July 7 Colne July 14 Colwyn Bay July 24 Crowborough July 23 Cumbernauld July 7 Didsbury July 8 Exmouth July 15 Falmouth July 21 Farnham July 29 Felixstowe July 16 Hackney July 15 Hawick July 24 Herne Bay July 8 Hertford July 29 Holloway July 14 Honiton July 14 Kirkby July 22 Malvern July 2 Market Harborough July 1 New Milton July 28 Pudsey July 28 Rawtenstall July 15 Ross-On-Wye July 30 Ruislip July 7 Saltcoats July 21 Seaford July 14 Shaftesbury July 23 St Austell July 8 St Neots July 30 Stokesley July 31 Strabane July 23 Tenterden July 7 Tottenham July 8 Wishaw July 22
Yahoo
a day ago
- Business
- Yahoo
After denying reports of BP takeover, Shell is legally barred from making an offer for six months—and there are no other suitors in sight
Shell doubled down on its denial of acquiring rival BP, claiming it has 'no intention' of making an offer while invoking a U.K. law that forbids Shell from bidding on BP during the next six months with few exceptions. The June 26 news comes after reports that Shell entered early talks to buy BP in what would easily represent the largest energy deal of the century—if not ever. But with Shell seemingly stepping aside to focus on internal performance—at least for now—financially struggling BP is left without any other clear suitors as the British energy giant seeks a turnaround following its 'hard reset' through cost cuts, greater fossil fuel investments, and renewables divestments. 'In response to recent media speculation, Shell wishes to clarify that it has not been actively considering making an offer for BP and confirms it has not made an approach to, and no talks have taken place with BP with regards to a possible offer,' Shell said in a prepared statement. The statement was issued under a rule in the U.K.'s takeover code that bans backtracking on its claims for the next six months unless Shell has the agreement of BP's board, another company bids on BP, or there's a material change in circumstances. Citing the code allows Shell to better reassure its investors that it is focused on its strategy and not massive, debt-laden acquisitions at this moment. BP declined comment. Shell's statement followed a June 25 report from the Wall Street Journal that Shell was in early talks to potentially buy BP, which also came after previous speculation and reports that Shell was studying a possible deal to combine two of the biggest Big Oil giants. 'For now, any takeover of BP by Shell will be a 2026 story, and is unlikely to happen in 2025,' said Kathleen Brooks, research director for the XTB brokerage house. 'BP's share price is still underperforming its global peers, and now that Shell is out of the running as a potential buyer, we do not see BP repairing its position in the coming weeks or months.' Indeed, only a small handful of companies could afford to acquire BP with its large, but underperforming, $80 billion market cap. London-based Shell is the most obvious, but the others—Exxon Mobil and Chevron—are coming off or are amid massive acquisitions of their own. And the U.S. supermajors could have greater antitrust challenges even if they were interested, said Deborah Byers, senior advisor at energy research and investment firm Veriten. Of note is that Shell switched its headquarters to London from the Netherlands three years ago, changing the Royal Dutch Shell name to Shell PLC. 'I think the U.K. government would block a foreign purchase. Maybe Shell is a white knight, and they would be okay from a regulatory standpoint in the U.K.,' Byers said. 'You would think the U.K. would not accept anyone other than Shell—even a U.S. major.' And that's not accounting for all of the debt, headcount, and nation-by-nation regulatory approvals Shell would have to go through to acquire another global energy supermajor, Byers said. Shell and BP each employ nearly 100,000 people, although they are both currently downsizing, while leaner Exxon Mobil, for instance, has about 60,000 employees. Then, Shell would need to undergo a prolonged period of divestments to satisfy the balance sheet and antitrust issues in different nations. 'Why would [Shell] want to do that?' Byers said. 'Do shareholders really want growth? Or do they just want capital discipline and returns—either dividends or buybacks? It's been a while since anyone has been rewarded for growth in this sector.' She said BP shareholders 'have to be patient' as it attempts its financial reset, acknowledging that BP is dealing with investor activism from Elliott Investment Management and others. 'The challenge is, what is that patience timeline?' Byers said. 'Their patience might be two or three quarters, but they probably need a couple of years to really work through some of these issues that are strategic pivots.' Likewise, in a recent analyst note, Biraj Borkhataria of RBC Capital Markets, said BP's debt profile, including remaining liabilities from the 2010 Deepwater Horizon tragedy, represent a 'poisoned chalice for an acquirer.' 'The deal looks dilutive to most of Shell's key metrics, and we do not see the core strategic rationale for the combination,' Borkhataria added. 'With Shell management having consistently communicated strategic priorities to the market since early 2023, the deal would also serve to contradict much of the commentary and potentially undermine credibility with its investor base. Shell would be much better served to continue with its plan and keep M&A smaller and more focused.' This story was originally featured on Errore nel recupero dei dati Effettua l'accesso per consultare il tuo portafoglio Errore nel recupero dei dati Errore nel recupero dei dati Errore nel recupero dei dati Errore nel recupero dei dati
The Sun
a day ago
- Business
- The Sun
Major supermarket chain at risk of closing 34 stores after ‘struggling financially' in major blow to shoppers
A POPULAR supermarket chain could be shuttering 34 stores after "struggling financially". Shoppers were devastated to hear a significant number of Co-op branches are at risk of closing. 1 There are also nine Co-op funeral homes that could be forced to pull the shutters down. The string of closures would hit Essex highstreets, if a merger is not approved imminently. A spokesperson from Chelmsford Star Co-op confirmed the news, as reported by Essex Live. Locations at risk would include stores in Braintree, Chelmsford, Basildon, Thurrock and Southend among other locations, as well as two travel agencies. The society also operates branches in George Yard Shopping Centre in Braintree and Moulsham Street in Chelmsford. Chelmsford Star Co-op said it is "struggling financially" and needs to merge with the larger Central Co-op society. They claimed their issues have been "exacerbated" by increases in National Insurance contributions and the living wage. It comes as the two Quadrant stores are set to shutter in October later this year, with bosses blaming "long-term and increasing financial loss". Neither site has fetched a profit since 2008. Plans or a merger should be decided at meetings on July 16 and August 5. However, one member of Chelmsford Star Co-op, feared a merger would still see smaller store closures in villages and housing estates. They said: "I believe that there are other options, including the disposal of department stores, the sale of the quadrant department stores building in Chelmsford and the use of that to reinvest in the business." Chelmsford Star Co-op said there are no confirmed plans in place. A spokesman said: "As with any business integration, there will be a period of transition where the combined Society will review how best to organise itself to meet the needs of its members and communities. "While no decisions have been made at this early stage, we can confirm there are no planned closures of Chelmsford Star food stores, funeral homes or travel agencies as part of the proposed transfer. "Some support functions may evolve over time to ensure the organisation is fit for purpose and sustainable long-term, but this would be done with care, transparency and engagement with colleagues, members and unions. Importantly, the focus of both Societies is to safeguard as many roles and services as possible." Meanwhile Chelmsford Star execs dubbed a potential merger an "incredibly exciting moment". Chief executives of Chelmsford Star and Central Co-ops, Barry Wood and Debbie Robinson, said: "This is an incredibly exciting moment for co-operation. During the UN International Year of Co-operatives, we have a shared vision to be a leading force in the co-operative movement, realising the transformative impact that co-operatives have on economies, communities and individuals. "In an increasingly competitive marketplace, we believe that by harnessing our shared values, we will build a stronger and more secure society. "We welcome the proposed transfer and invite members to support this important moment which will deliver a future that continues to put members, colleagues and communities at the heart of everything we do.' Tony Price and Elaine Dean, presidents of Chelmsford Star and Central Co-op, added: 'Central Co-op and Chelmsford Star Co-operative are committed to putting the interests of our members first and supporting the communities where we trade. "The transfer will ensure that all members continue to have an important voice as part of a stronger, more secure Society - ready to serve them for many more years to come. "Both Boards are supportive of this transfer of engagements and the exciting opportunities that it presents.' OTHER CO-OP NEWS This comes as Co-op is rolling out a major change to stores across the country. The supermarket giant is replacing paper product tags with electronic labels throughout its whole estate over the coming months. The retailer has already made the change in 340 branches but will roll out the tags more widely. The chain said 1,500 stores will have the labels by the end of the year and will be rolled out across all its nearly 2,400 by the end of 2026. We have asked Co-op if all labels will be replaced with electronic ones in stores and will update this story when we've heard back. The electronic labels are designed and created by VusionGroup, which also works with Asda. Steven Logue, Co-op's head of operations, said: 'With convenience at the heart of everything we do Co-op is committed to continually exploring innovative technology that can improve how we operate." Co-op said the new electronic labels will show allergen and nutritional information and products' country of origin, as well as deals and savings. And, Co-op was one of a number of retailers hit by a cyber attack recently which saw supermarket stock and customer data affected. However, by May 14, the supermarket chain confirmed it was in a "recovery phase" and ready to turn online orders back on. Customers had been complaining of shortages of fresh produce, ready meals, yoghurts and confectionery since the incident began at the end of April. The attack also pushed contactless card payments offline in nearly one in 10 stores, forcing customers to pay with cash or enter their PINs at the till. The retailer also confirmed customers' private details were stolen during the attack after its IT systems were compromised. Some customers' names, contact information and dates of birth were exposed, however passwords, credit card details and transaction information were not. How to save money on your supermarket shop THERE are plenty of ways to save on your grocery shop. You can look out for yellow or red stickers on products, which show when they've been reduced. If the food is fresh, you'll have to eat it quickly or freeze it for another time. Making a list should also save you money, as you'll be less likely to make any rash purchases when you get to the supermarket. Going own brand can be one easy way to save hundreds of pounds a year on your food bills too. This means ditching "finest" or "luxury" products and instead going for "own" or value" type of lines. Plenty of supermarkets run wonky veg and fruit schemes where you can get cheap prices if they're misshapen or imperfect. For example, Lidl runs its Waste Not scheme, offering boxes of 5kg of fruit and vegetables for just £1.50. If you're on a low income and a parent, you may be able to get up to £442 a year in Healthy Start vouchers to use at the supermarket too. Plus, many councils offer supermarket vouchers as part of the Household Support Fund.
CTV News
2 days ago
- Business
- CTV News
Canadians are falling further into debt, beyond just pay cheque to pay cheque living
Year over year a growing number of Canadians have fallen into debt. The stark reality for many Canadians is living pay cheque to pay cheque, but new data suggests it's even worse for a growing number of families that are falling behind every month. 'It's no longer pay cheque to pay cheque its bill to bill and when people are in financial difficulty a lot of times it's a pick and choose what bill you are going to pay,' says Paul Ihnatiuk, BDO Canada Vice President. Ihapiuk explains that data shows more Canadians are missing loan payments at a faster rate than taking on new debt. 'Consumer debt in Canada has hit 2.55 trillion and the average nonmortgage debt rose to $21,859. In the Maritimes, amongst Nova Scotians, the nonmortgage average sits at just over $21,000 and that's an increase of three percent,' adds Ihnatiuk. He explains that delinquencies in Nova Scotia are also up 5.2 per cent. New Brunswickers are falling even further behind with delinquencies being up nine per cent compared to last year. P.E.I. saw the largest increase in nonmortgage debt being $24,000, which Ihnatiuk explains is higher than the national average. Tina Powell, a licensed insolvency trustee with MNP Debt, adds that the number of Maritimers living in debt increases year over year. 'About 86 per cent of people are being cautious about taking on new debt because they don't have the ability to repay it,' states Powell. She explains that many are facing mortgage renewals and rent increases, both having substantial impacts on their monthly budget. 'While many have made necessary adjustments to their budgets and to cut out unnecessary items and decrease their living expenses, many don't have a cushion to deal with these increased costs,' adds Powell. Doris Asiedu with Credit Canada says she knows people are living pay cheque to pay cheque even prior to the interest rate hikes. She has spoken with a number of clients who are experiencing inadequacies in their income. 'I see about six or more clients a day and about two out of the six would say things are tight and one pay cheque away from a disaster,' says Asiedu. She explains that there are a number of reasons why people are struggling but a lot is to do with cost of living and incomes not keeping up. 'Not having adequate income to sustain their families, people are working hard but the paycheque isn't enough, and there is an underlying reason for lack of financial literacy,' adds Asiedu. Ihnatiuk also explains that debt is growing faster in Canada than incomes are. 'Household debt is now at a rate of 173.9 per cent. What that means is on average when Canadians earn a dollar of disposable income, they now owe a $1.74 in debt,' say Ihnatiuk. Ihnatiuk states it's even more concerning that Canadians are struggling to manage their debt. 'Nonmortgage delinquencies are at a level that we have not seen since 2009, in fact 2009 is when we had the great recession,' says Ihnatiuk. Compared to what BDO saw last year, Ihnatiuk says Canadians are struggling and falling further into debt and they just can't maintain their payments anymore. 'They're taking debt from one credit card so they are taking a cash advantage and they are paying it for a minimum on another,' explains Ihnatiuk. These experts say it's important for people to budget the best they can and if they need help not to be ashamed to ask for it because they are not alone, and many are going through the same struggles.
BBC News
3 days ago
- Business
- BBC News
Council tax: households owe billions ahead of bill rise
Struggling households owe billions of pounds in unpaid council tax, but bills are expected to keep rising in the years figures show £6.6bn is owed to local authorities in England, with an extra £642m having been added to those arrears in the year to data from Scotland and Wales means the total cumulative amount owed in the three countries has hit more than £ have called for a more sympathetic approach to council tax debt collection, rather than the use of bailiffs. While the government is proposing a change in the rules over the way unpaid bills are chased, the Treasury is also assuming council tax will rise by 5% a year in the can raise council tax by up to this amount, although they can go above this cap if they hold a local referendum or get approval from central government.
