Rising tide of regulation could drown thousands of local retail businesses
The Scottish Grocers’ Federation has hit back at the deluge of new regulation expected to land on small convenience retailers in 2024/25. Highlighting that a torrent of restrictions across a range of product areas, on top of issues such as retail crime and reduced business rates relief, could spell the end for many vital community services.
It is expected that by the end of 2025, the sector will face at least six new areas of regulatory burden, including:
In store restrictions to the placement and marketing of alcohol products, one of Scotland’s most celebrated industries. In addition to a rising Minimum Unit Price on alcohol products.
Restrictions on the promotion and location of dozens of food items categorised as High in Fat, Sugar, or Salt.
Potential restrictions on the visibility and sale of vaping products in store.
A generational ban on the sale of tobacco products.
Requirements to meet new net zero targets relating to the Circular Economy Bill and WEEE regulations, including changes to waste and recycling management.
A UK wide deposit return scheme.
Dr Pete Cheema OBE, SGF Chief Executive, said: “Regulations and restrictions always fall hardest on smaller businesses, most of whom just don’t have the capacity or resource to cope with change after change. Moreover, it fails to account for the devastating impact of external factors such as inflation, energy prices and the cost-of-living crisis.
“SGF believes in responsible community retailing, and we want to help make our country a better place to live. Instead of attacking well-meaning businesses, ministers need to think again and come up with a joined-up and workable approach to introducing new regulation.”
You can read our full press release here.