Today’s news in brief-24/4/25
Chancellor Rachel Reeves is reviewing the Low Value Import scheme, which allows goods under £135 to enter the UK tariff-free, amid concerns over Chinese companies flooding the market with cheap products. Major retailers like Next, Currys, and Sainsbury’s have warned that such imports could undercut UK businesses. The potential reform follows similar moves by the US and EU to tighten trade rules. Reeves emphasised the need for fair trade, while Currys CEO Alex Baldock highlighted risks of tax avoidance and safety issues linked to Chinese imports via platforms like Temu and Shein.
Asos reported narrowed losses of £69.5m in H1, down from £120m a year earlier, signalling progress in its turnaround strategy. Despite a 13% sales decline due to reduced old stock, adjusted EBITDA rose to £42.5m. The retailer plans further improvements, including launching Topshop.com and AI-driven shopping features. CEO José Antonio Ramos Calamonte expressed confidence in sustainable growth, citing strong UK demand for Asos Design.
Charles Tyrwhitt posted a 13.6% revenue rise to £305.8m, driven by improved consumer sentiment and a return to officewear demand. The menswear brand expanded its casualwear range and opened two new UK stores, though online sales remained dominant. Operating profit jumped 32.8% to £24.7m, though cash reserves fell 30% to £19.5m. The group remains optimistic despite global freight challenges.
UK consumer confidence dropped sharply to -48 in April, following Trump’s global tariff announcements. Personal financial outlooks worsened, though retail spending expectations edged up. BRC CEO Helen Dickinson warned of rising costs for retailers and called for tighter import rules to prevent substandard Chinese goods from entering the UK market.
Babywear brand Mori purchased children’s retailer Kidly, marking its first-ever deal. Kidly’s popular jelly shoes and preschool range will complement Mori’s sleepwear collections, with integration starting in 2025. The move supports Mori’s expansion plans, including new UK stores and strengthened wholesale partnerships. Founder Onal highlighted the synergy between the brands in serving families with sustainable products.