Beaverbrooks, a family-owned jeweller founded in 1919, reported declining profitability amid challenging retail market conditions. The company’s underlying operating profit fell 9% to £7.8m, attributable to increased employer national insurance contributions and rises in the legal minimum wage. Total sales remained relatively flat, declining 0.1% to £217m across the group’s portfolio of 56 Beaverbrooks stores, four Loupe boutiques, and 22 brand-specific outlets for luxury watchmakers.
Managing director Anna Blackburn characterized the results as strong relative to industry performance and expressed optimism about the company’s market position. She emphasized Beaverbrooks’ sustained investment in store modernization, staff development, and digital operations. The retailer recently opened its fourth Loupe watch boutique in Sheffield and plans significant renovation projects at locations in Manchester’s Trafford Centre and Lakeside in Essex.
Blackburn urged the government to provide relief from mounting business costs and avoid implementing additional taxes in the upcoming budget. She advocated for policies addressing unemployment and inflation to boost consumer confidence ahead of the Christmas trading period. “Give business a bit of a break and stimulate some growth and confidence,” she stated, emphasizing the need for long-term strategic stability.
Blackburn’s remarks align with broader concerns from the retail sector. Other retail leaders, including the former boss of John Lewis and executives at JD Sports, have voiced similar concerns about the impact of increased employer national insurance contributions and wage obligations. These cost pressures are reportedly prompting retailers to adopt more automation and adjust hiring practices. The government faces competing fiscal pressures as it prepares its budget, with the chancellor reportedly considering various revenue options and reallocation strategies.
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