Kantar’s latest figures have been picked up by several papers, with the majority of headlines focused on rising inflation and the potential impact of GLP-1 weight-loss drugs on falling volumes. The Telegraph went big on Asda, noting that while it reached a record 11.9% market share low, the pace of decline has slowed and it is nearing “rock bottom”.
To illustrate its point about weeds giving way to green shoots, the report highlights some of the half built “unopened and abandoned” convenience stores in London that are now due to be opened under previously announced plans to open 25 c-stores by the end of the year.
Allan Leighton will need to be very judicious in how his “war chest” is spread across investing in price, store standards and new store developments, Shore Capital analyst Clive Black says.
Those rising prices are being felt in more places. Sky News has picked up a report out this morning from the National Centre for Social Research on rising financial difficulties in British households.
The British Social Attitudes report found a record 26% are struggling to live on their income, and a record low of 35% say they are living comfortably. Two thirds say their incomes have not kept up with prices.
Spanish red wine exports to the UK have been hit by Rachel Reeves’ changes to import tariffs, reports The Times. Exports of Spanish wine to the UK dropped by 7.5% in value in the first four months of the year.
Changes to duties in February mean wines with an alcohol content of up to 12.5% have had small increases or even a drop in payable duties, but for those exceeding 12.5% abv levies have risen sharply. The UK is the largest export market for Spanish wine.
Following yesterday’s announcement that the Co-op is to stop selling Israeli products, The Telegraph reports calls from the Board of Deputies of British Jews to reverse its decision. A spokesperson said the action “risks harming community cohesion and unsettling Jewish shoppers and staff at an already difficult time” and voiced concern that kosher food may become a target for protesters.
Priti Patel, the shadow foreign secretary, weighed in with advice that the retailer should focus on its customers, “not playing student union politics with international affairs”. The Co-op announced yesterday that it would stop selling produce from 17 “countries of concern”, including Israel, Iran, Syria, and Mali this month, after its members voted to ban Israeli goods from shelves.
The BRC is in hot water with some of its members and analysts after admitting it used out-of-date numbers for Marks & Spencer in its BRC-KMPG retail sales monitor. M&S did not send sales figures to the trade body following a cyber attack, but rather than omit M&S, the BRC used old data based on previous sales in its industry report.
An exclusive from The Telegraph reports the practice only came to light when the BRC emailed members last week telling them to “be careful in using the data”. One senior retail executive told the paper: “It’s one thing to take the number out. It’s another to add one in and make it up.”
The BRC argued that excluding M&S from the benchmark would have allowed competitors to calculate commercially sensitive information, such as its market share.
BrewDog has “rowed back” on plans to float. CEO James Taylor said an IPO was “not on the agenda at the moment”. He was speaking to The Times as BrewDog returned to profit under what the newspaper describes as its “preferred metric” for the first time since 2021.
Adjusted earnings before deductions were £7.5m last year, compared with a £2.5m loss in 2033, on net revenue of £280m. However, the company declined to share a pre-tax profit figure for 2024, save to confirm that there would be a loss. In 2023 its pre-tax loss was £59.2m. BrewDog Plc’s accounts are due to be filed at Companies House by 30 September.
After days of volatility, oil prices had a more stable 24 hours. Brent crude futures rose by 1.3% to $67.99 a barrel, Reuters reports, as investors assessed the stability of a ceasefire between Iran and Israel.
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