Primark’s CEO Sees a Tax‑Heavy Autumn, but Keeps Prices Chill
When the Chancellor dropped the latest budget, the big news that stuck to the high‑street gossip column was the jacking up of national insurance payments. The boardroom at Associated British Foods (ABF), the parent of Primark, was quick to remind the world that they’re “preparing” for a sizeable rise in operating costs.
“Tens of Millions” – The Cost Angle
ABF’s chief, Nick Weston, told the PA that the insurance bill sprinting forward will rake in what he calls “tens of millions” for the company.
- ABF runs in 56 countries, stretching from London to New York.
- Weston emphasized that as an international player, the firm has the “flexibility” to decide where to invest.
Why the Rise Is Inevitable
“It’s not a surprise – the money had to come from somewhere,” Weston said, underscoring that the tax load is falling sharply on retailers. He made it clear that Primark has no plans to hike prices in 2024, even if the cost of running the shop kicks into gear.
What This Means for the High Street
According to the chief executive, the budget’s “weight of the tax rises” is creeping down to the streets, a reality that might bite the petri dish of a busy store. To keep shopping affordable, Primark’s leaders are tightening budgets, dipping deeper into capital reserves, and possibly looking for smarter supply‑chain moves.
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