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NEWS
NEWS Food brands face ‘intense competition’ in bid for new Royal Warrants
By Greg Pitcher
Suppliers of ne food to Queen Elizabeth II face an o cial review to see if they can retain their Royal Warrants a er her death last month.
The coveted status is awarded to companies supplying key royal households with goods over a period of at least ve years. But following the passing of the Queen, only King Charles III is currently eligible to hand out the warrants. A full review has been announced to decide what will happen to the many attributed to his late mother.
Dr Amna Khan, senior lecturer in consumer behaviour and retailing at Manchester Metropolitan University, described the coat of arms – which companies can continue to use for two years a er a grantor’s death – as “the endorsement of endorsements”.
“It is a seal of approval,” she said. “Psychologically for a consumer the validation process has been done.”
Khan predicted intense competition for the new monarch’s favour.
“All brands want to be associated with the Royal Warrant and many will certainly try to get on the list,” she said. “Brands that are sustainable and ethical will fare better as this is important to the new King, and his taste is likely to be di erent to the late Queen’s. There is certainly an opportunity.”
However, consumer behaviour expert Philip Graves warned there was “no guarantee” a coat of arms would even be noticed by shoppers. He added: “If a brand places more focus on the Royal Warrant, they will be reducing the focus on something else that they believe is important.”
Wilkin & Sons, producer of Tiptree preserves, has supplied royalty for more than a century.
Director Scott Goodfellow described the “privilege” of providing jam for Buckingham Palace parties and “emergency” orders of marmalade for Balmoral Castle.
“We have very fond memories of Her Majesty the Queen’s visit to the Tiptree Jam factory for our 125-year anniversary in 2010,” he added. “She took the time to chat with many members of sta , bringing a rare warmth to us all.”
James Rutter, managing director of Paxton & Whit eld, said the cheesemonger was “proud” of its royal associations.
“Paxton & Whit eld has held the Royal Warrant to every reigning monarch since Queen Victoria,” he said. “Each Royal Warrant is recognition of our excellence in service, expertise, quality and heritage; each of which we believe is extremely important to our customers.”
Her Majesty The Queen visiting the Tiptree factory in 2010
The owner of a major East Midlands farm shop has spoken of her fear and distress after watching fire ravage the building.
Georgie Mason, who lives next door to the award-winning Gonalston Farm Shop in Nottinghamshire, was awoken by its alarm shortly after 1am on 12th September.
Eight fire engines and two support vehicles attended the blaze, which took several hours to put out.
“It was scary,” Mason told FFD. “Flames were shooting 3ft in the air from a hole in the roof.
“The fire gutted the first floor and took out a third of the ground floor. The amount of water the firefighters had to put through has also caused a lot of damage. It is catastrophic.”
The building has been sealed off to allow experts to identify potential causes and assess the extent of the damage.
“It has all been very slow because the Queen’s funeral was in the middle of it all,” said Mason.
The business, which works in partnership with symbol group Budgens, Specialist food sales dropped in August, official figures have revealed.
Office for National Statistics data showed that the volume of trade done by shops, such as butchers and bakers, was 1.9% lower in August than July. This was a greater fall than the 0.9% drop experienced by supermarkets.
Rising prices and economic uncertainty are thought to be major factors in declining food sales.
Overall food store sales volumes were 1.4 per cent lower in August 2022 than February 2020, showing they remain below pre-Covid levels.
remained closed at the start of October, and there is currently no firm timeline on when the operation will be up and running again.
“It is like losing three groups of people,” said Mason. “Your suppliers, your team and your customers.
“But thankfully no-one was in the building, noone was hurt and it didn’t spread to the house.
“We have no idea what happened. I was up at 12.20am and went back to sleep, the alarm woke me up at 1.08am.”
The proximity of her house to the business has added to the trauma for Mason.
“It is like living next to a coffin,” she said.
ONS stats show food sales fall
WHAT THEY ARE SAYING ABOUT... THE TRANSITION TO A NEW MONARCH
RUPERT EVANS, FARM RETAIL ASSOCIATION
“King Charles III is a very forwardthinking monarch, very supportive on food production and I think he really understands our industry. I believe he will be a strong and passionate leader on food and farming.”
“I am a supporter of our monarchy and felt a real sadness when the Queen passed away. I think she encapsulated everything that is fantastic about the UK. I’m sure King Charles III will carry on his mother’s legacy to the best of his abilities.”
JEN GRIMSTONEJONES, CHEESE ETC, PANGBOURNE
ANDY SWINSCOE, THE COURTYARD DAIRY
“King Charles III has been a great advocate of crafts and traditional cheese for many a decade. Hopefully it can only bring strength and shine a light on an industry that we have to remember most of the general public are not that aware of. His interests and focus on native breeds and sustainable farming techniques are things that, personally, I am for.”
NEWS Indies welcome Energy Bill Relief Scheme but fear e ects of depreciation
By Greg Pitcher
Independent retailers fear soaring interest rates a er Government energy and tax giveaways sparked a major economic wobble.
The sector is braced for fresh pressure on alreadyconstrained consumer spending if mortgage costs rise, as expected in the wake of the announcements.
In September, Chancellor Kwasi Kwarteng set out details of support for businesses with energy bills alongside cuts to employment levies and the removal of a planned hike in corporation tax.
But his mini-budget was largely blamed for a fall in the value of the pound and a rise in the cost of Government borrowing. The International Monetary Fund urged a rethink, and the Bank of England is widely expected to increase interest rates to control in ation.
Sangita Tryner, owner of Delilah Fine Foods in Nottingham, described the announcements as a “disaster”.
“Energy support had to happen but the Government has given with one hand and taken back with two,” she said. “Regardless of its intentions, the scare means none of my customers know where they will be in three months’ time. They are scared of their mortgages changing, scared of their shopping bills; scared to spend any money.”
Andrew Goodacre, chief executive of the British Independent Retailers Association, welcomed the energy support package and the moves to reduce future tax bills for employers.
But he added: “There are now other factors in play with higher import prices, due to the declining value of the pound, and the spectre of much higher interest rates dampening consumer expenditure.
“A mini-budget designed to initiate growth and restore consumer and business con dence seems to have had the opposite e ect.”
The Energy Bill Relief Scheme will subsidise the price businesses pay for wholesale gas and electricity for six months from 1st October 2022. A Supported Wholesale Price is expected to be set at about £211/ MWh for electricity and £75/MWh for gas.
Meanwhile the Chancellor has cancelled a forthcoming increase in corporation tax, meaning it will remain at 19%, while the recent 1.25 percentage point rise in National Insurance will be reversed. Planned hikes in duty charged on beer, wine and cider have been scrapped.
James Lowman, chief executive of the Association of Convenience Stores, said the energy scheme was a “lifeline” for local shops.
He added: “We welcome that the Government’s plan aims to stimulate growth and incentivise investment by businesses.”
Chancellor Kwasi Kwarteng offered energy bill support in September
IN BRIEF
Doves Farm Foods has acquired the Wessex Mill flour brand from Clarks (Wantage). The deal will secure continuation of production.
Cranswick chairman Tim Smith has been appointed as the industry chair of the Food & Drink Sector Council. He will work alongside Government chair and food minister Ranil Jayawardena.
Laura’s Larder has been named small independent retailer of the year at the Speciality and Fine Food Fair Awards. The business, based in Petts Wood in south London, established itself during the pandemic, having opened weeks before the first lockdown.
Retailers welcome Labour proposal to scrap business rates for “fairer” system
Retail chiefs have welcomed a promise by the Labour Party to reconsider one of their major overheads.
Shadow Chancellor Rachel Reeves declared in a speech at the opposition party’s conference in Liverpool in September that she would “abolish” business rates and create a “fairer system”.
Independent shops have long urged a rethink over the levy, which is charged on use of commercial property.
Labour called for small business rates relief to be extended to those whose premises have rateable values up to £25,000 – up from £15,000 at present – insisting this could be paid for by increasing the rate of digital services tax.
Reeves also suggested she would end the system of transitional relief, which staggers any drop in bills, and ensures annual reevaluation of premises.
The Retail Jobs Alliance – which includes the British Independent Retailers Association and the Association of Convenience Stores – said it was “delighted” by the announcement.
“The existing business rates system inhibits investment in new shops and makes it harder to keep existing shops open,” said alliance director Nick Faith.
“Business rates are a signi cant part of retailers’ overheads. The time is now for action on rates.”
Federation of Small Businesses national chair Martin McTague added: “Small rms were looking for a strong statement from Labour on business rates – and they got one.
“We estimate that increasing the relief threshold will li 200,000 small businesses out of paying rates altogether, the bulk of them in levellingup target areas.”
Rachel Reeves MP speaking at the Labour conference
Tree of Life saved by Hunt’s
Hunt’s Food Group has bought the brand and assets of distributor The Health Store from administrators.
Sister companies Health Stores (Wholesale) and Tree of Life UK went into administration on 22nd August this year, with fellow group brand Health Made Easy joining them a few days later.
The deal will see 17 employees from the acquired company’s Nottingham base transfer to the Dorsetheadquartered supplier.
Chris Pole, managing director at administrators Interpath Advisory, said: “We’re pleased to have concluded the sale, ensuring The Health Store will continue to trade and providing certainty for those employees who will transfer to the new owners.”
NEWS Fears over Christmas sales as Britons predicted to cut spending
By Tanwen Dawn-Hiscox
Four in 10 Britons are likely to spend less on food this year than last Christmas, and ve in 10 are planning on spending less on alcohol, research conducted by consumer insight organisation QuMind has found.
According to a survey of 1,000 people across the UK, 80% of people are concerned about their spending this Christmas, and 60% said they would be spending less this year than last Christmas. 11% said they would reduce their spending by more than 50%.
Supermarkets are likely to bene t from the trend, as a third of respondents said they would buy own brand items over branded goods, and a quarter said they would shop in supermarkets over smaller local stores.
Driven by in ation and rising energy prices, the cost-of-living crisis has been a concern for independent retailers for some time, explained chief executive of the British Independent Retailers’ Association (BIRA), Andrew Goodacre. This has become worse in light of recent decisions made by the British Government –namely with the devaluation of the pound.
“We had already been seeing a reduction on overall expenditure since April. Now, the reduction in sales seems to be across the board,” he said.
As consumers and businesses’ con dence and certainty are at an all-time low, he added, “they become more cautious with regards to their spending.”
“The mini budget was designed to initiate growth and improve consumer con dence – it seems to have achieved the opposite, raising fears among all retailers that spending will continue to be reduced and ultimately more selective.”
Advising that independent food retailers keep their prices stable, he said they should instead strive to maintain high service levels, engage their customers and create value propositions.
At the same time, he added, “we need government to provide the necessary reassurances to consumers so that they can shop with more con dence”, before it is too late to have an impact on Christmas shopping.
Many in the UK are said to be planning to spend less on Christmas
IN BRIEF
Ranil Jayawardena MP was named Secretary of State for Defra last month when PM Liz Truss appointed a new cabinet. Jayawardena previously served as Minister for International Trade.
A Russian ransomware
attack on Daylesford
Organic saw personal details of prominent clients published online after owners Lord and Lady Bamford refused to give in to hackers’ demands. Sir David Attenborough and Jeremy Clarkson were among those affected.
Online grocer Ocado is expecting a decline in annual sales for the first time since it was founded, due to customers trading down and cutting back.
£110m of rural business grants up for grabs
Businesses have until 30th November to apply for a grant under the £110m Rural England Prosperity Fund introduced by Defra last month.
The rural top-up for the £2.6bn UK Shared Prosperity Fund, which will be available from April 2023, will be invested in projects likely to boost productivity and create rural job opportunities.
Examples include farms looking to diversify by opening a shop or tourism facilities; and non-farm businesses wishing to buy food processing equipment or install electric vehicle charging points.
Businesses seeking funding should contact their local authority to apply. DOWN ON THE FARM The latest from farm shops across the country
Stoughton Grange Farm Shop, Leicestershire
A new farm shop has been welcomed by the locals of Leicester.
Stoughton Grange Farm Shop opened its doors at the end of July, within it a butchery featuring livestock selected by the team from local farms and prepared on site.
The fresh vegetables are either grown on the farm or come from Leicestershire and Rutland farms.
The shop also has well-stocked cheese cabinets, a deli and a milk vending machine filled daily from a dairy farm only 4 miles away. It is open seven days a week.
stoughtongrangefarm. co.uk Ruxstons Farm Shop, Somerset
Ruxstons Farm Shop opened in the summer heatwave, in perfect time to showcase its 75 flavours of Granny Gothard’s ice cream.
Ruxstons also offers local meat, grains and flours, jams, honeys and chutneys with an emphasis on local producers and keeping food miles to a minimum.
The two owners, brothers Gabriel and Fraser Purdey, pride themselves on selling meat from carbon-negative farms.
ruxstons.co.uk Ribblesdale Farm Shop, Yorkshire
Ribblesdale Farm Shop was recently launched in the Watershed Mill in Settle, North Yorkshire to support and promote the local farms, craft makers, jam suppliers and artists. The little shop serves the local community 7 days a week with rare breed highland beef, free-range Blue Pig sausage, fresh bread, and Yorkshire’s best lemon curd, honey, artisan beers, ales, gin and wine.
Halberton Court Farm Shop, Devon
A popular farm shop near Tiverton in Devon has applied for permission to expand. Established in 2001, Halberton Court Farm Shop has a pickyour-own farm and a café.
The proposed extension would add a tea shop and restaurant, which the owners hope will allow them to diversify.
