Retail’s Part‑Time Line Gets a Tangy Threat
Retail is the UK’s biggest private‑sector employer, ticking up over a third of local jobs in 20 % of constituencies. On top of that, it’s the gateway for young people—people under 25 make up nearly one‑fifth of all retail staff. But a fresh Budget flicks a breeze of new costs across the sector, and part‑time roles are up for grabs.
Why Part‑Time Is in the Rough
There are more than 1.5 million part‑time retail jobs—just over half of the industry’s workforce. These include:
- Students pocketing extra cash while studying
- Parents juggling work around childcare
- Seasonal hands that lift the shelves during peak sales
An eye‑watering up to 160,000 of those positions (≈1 in 10) could vanish over the next three years, thanks to the added weight of:
- Higher National Insurance Contributions (NICs)
- The National Living Wage (NLW) hike
The Numbers That Get Your Wallet Throbbing
Retailers face an extra £5 bn in labour costs in 2025 alone. That’s because:
- NICs will now tax any part‑time employee earning over £5,000 (previously £9,100)
- The NLW increase slices into the margin
- New Employment Rights Bill proposals could pressure firms to thin out flexible, local gigs
When you roll all of that together, part‑time employees—the seasonal and student squads—are the most likely to get hit.
What the British Retail Consortium Is Saying
Helen Dickinson, CEO of the British Retail Consortium (BRC), has warned that the government’s “budget mountain” could.
She added:
“Retail’s third of the workforce is a vital launchpad for young talent, with a staggering £4 bn poured into training each year. The new costs of NICs, NLW, and Employment Rights are like pulling the ladder out of their hands. One in ten part‑time roles could be gone.”
To keep the ladder standing, Dickinson calls for:
- A pragmatic approach to the Employment Rights Bill, focusing on protecting both employers and employees
<li A government plan to tuck in a £7 bn cost buffer for retailers, saving jobs and maintaining the supply chain lifeline.
BRC’s New 2025 Retail Manifesto
Alongside the warning, the BRC is rolling out a manifesto that targets:
- Investment in growth and sustainability across the UK
- Boosting workforce development and productivity
- Protecting the “first rung” of career ladders for students and the young workforce
Retail’s future depends on a balance between keeping costs reasonable and securing places for part‑time heroes.
