BRC chairman Richard Baker has written to international trade secretary Liam Fox to make an “irrefutable case for a consumer-first strategy” in the Brexit negotiations.
Baker, who took over as BRC chairman in September, points out that the retail sector’s margins have already been squeezed, so there is no room to absorb added costs from import tariffs and administrative fees.
As such, retailers could be forced to pass these costs on to consumers, leading to higher shop prices – which could affect consumer spending.
Retailers are already facing higher import costs as a result of the fall in the value of sterling. Next, John Lewis and Fat Face have warned that they will have to increase prices next year.
If the UK falls back on World Trade Organisation rules, the average duty on clothing and footwear could be between 11% and 16%.
The BRC is also campaigning for the government the end the uncertainty facing EU workers and their rights to remain in the country.
Source: https://www.drapersonline.com/news/keep-post-brexit-import-tariffs-low-pleads-brc/7012821.article
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