More than a quarter of small- to medium-sized UK retailers believe that Brexit remains the biggest challenge to their future survival, despite British Prime Minister Boris Johnson's efforts to negotiate a working deal with the European Union.
According to a study by finance solutions provider Duologi, 27% of SME retailers said that Brexit poses the 'most significant threat' to their operations.
In addition, the study also found that 62% of retailers say that they currently feel 'unprepared' for Brexit, ahead of the forthcoming UK general election on 12 December.
'Political Uncertainty'
"With political uncertainty continuing into the new year, SME retailers are still unclear on how this will affect them and how they can prepare," commented Michael Bevan, CEO of Duologi.
"Despite additional resources being made available ahead of an exit from the European Union (EU), deadline extensions scupper existing plans and safeguards, putting small businesses in a difficult position. The economic uncertainty also fuels further consumer hesitancy when it comes to spending on significant purchases, as they are unclear on what the immediate impact of an EU exit means for them."
Embracing Technology
Elsewhere, approximately a quarter (24%) cite the need to 'keep up with new technologies' as their biggest challenge, amid the growth of online players such as Amazon.
One in ten retailers (11%) are fearful that Amazon will 'steal their customers' in the future.
© 2019 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: The European Supermarket Magazine.
