The Drapers Fashion Retail Manifesto compiles the fashion industry’s key needs for government action.
- The fashion sector contributes £62bn annually and supports 1.3 million UK jobs.
- Business rates reform is a top priority for the industry to remain competitive.
- Post-Brexit challenges continue to impact UK fashion trade and need resolution.
- There is a strong call for sustainable practices and a greener future in fashion.
Drapers has crafted a detailed manifesto to articulate the pressing needs of the fashion retail sector in the run-up to the general election. Contributing £62bn annually to the UK’s economy and supporting 1.3 million jobs, the industry is pivotal to the national financial landscape. This manifesto reflects a concerted effort to secure commitments from the Labour, Conservative, and Liberal Democrat parties to support the sector’s continuous growth and innovation.
The primary concern within the manifesto is business rates reform, an issue affecting both independent retailers and high street giants. The recent uplift in the business rates multiplier to 54.6p has posed an estimated £470m burden on the industry this year, intensifying calls for a fairer distribution between physical and online retailers. Sector leaders stress the necessity of reforms to the Landlord and Tenant Act 1954 and propose Stamp Duty Land Tax relief on retail property transactions to alleviate financial pressures.
Brexit remains a contentious topic, with unresolved trade issues persisting post-referendum. Free Trade Agreements with the EU and increased shipping costs continue to strain brands attempting to export, signalling a potential rise in costs and inflation if left unaddressed. The call for strategic government intervention is underscored by the current logistical challenges, including substantial freight cost escalations exacerbated by re-routed maritime paths away from the Suez Canal.
To bolster economic activity, the manifesto advocates for the reinstatement of tax-free shopping schemes and the introduction of a digital alternative. The absence of such incentives has placed UK retailers at a disadvantage against European counterparts, as highlighted by a leader who noted the unique position of the UK as a major economy lacking these benefits. Furthermore, extending the Geographical Indication scheme to encompass skilled manufacturing could enhance protection for industries such as Savile Row tailoring.
Environmental sustainability is another major pillar of the manifesto, pressing the need for policies that encourage energy efficiency and renewable adoption. Industry experts suggest that tax incentives could ease the financial transition to greener methods for businesses, propelling the sector towards decarbonisation and net-zero objectives.
Additional proposals include overhauling the Apprenticeship Levy to expand its application to diverse, high-quality training programs, thereby fortifying the sector’s workforce. This reform aims to provide a more flexible approach to using funds and address costs associated with apprenticeship roles. Moreover, there’s a demand for enhanced worker protection, including the push for a genuine living wage and the eradication of exploitative contract practices.
The issue of retail crime has stirred significant concern, with calls for urgent reforms to classify such offences appropriately within national policing frameworks. Retail leaders have urged the government to adopt more robust measures to combat shop-related crimes, ensuring a safer working environment for retail employees.
The Drapers Fashion Retail Manifesto outlines critical reforms and initiatives vital for sustaining the UK fashion industry’s economic and cultural significance.
