ACT parent company Bira responds to Beales' "Rachel Reeves Closing Down Sale" as iconic store makes final protest
Posted on in Business News, Cycles News
ACT parent company Bira has responded to the news that the 144-year-old Beales department store is staging a "Rachel Reeves Closing Down Sale" in its final weeks of trading, with giant yellow banners directly blaming the Chancellor for its closure.
The historic retailer, which will shut its Bournemouth Dolphin Centre location on May 31, has made headlines with its bold final statement – offering discounts of up to 80% beneath large posters featuring the Chancellor's image.
Bira has been campaigning for independent retailers, including many independent cycling retailers – over concerns about the damaging impact of cheap imports entering the UK duty-free and often avoiding VAT, creating unfair competition with responsible UK-based retailers.
The Chancellor's decision to review the customs treatment of Low Value Imports – which currently allows goods valued at £135 or less to be imported without paying customs duty – directly addresses one of our key concerns. This system has disadvantaged British retailers by allowing international companies to undercut them, affecting high streets across the nation and placing particular strain on niche sectors such as specialist cycle shops.
Andrew Goodacre, CEO of Bira, said: "Beales' decision to explicitly name the Chancellor in its closing down sale reflects the genuine anger and frustration felt across our sector. When a business that has survived for nearly a century and a half takes such a public stance, it demonstrates just how devastating these cumulative tax increases have been."
The closure comes after Beales' Chief Executive Tony Brown cited "punitive business taxes" as making the business unviable, specifically pointing to increases in National Insurance contributions, minimum wage costs, and the reduction in business rates relief.
"This is a Government that, prior to coming in, wanted to revitalise high streets. What they've done is find ways of making it more expensive to run a shop. Our members – from fashion retailers to independent bike shops – are perplexed, flabbergasted and angry," Mr Goodacre added.
Bira warns that Beales will not be the last historic name to disappear from Britain's high streets if urgent action isn't taken. With approximately 13,000 shops closing in 2024 and forecasts suggesting this could rise to 17,000 closures in 2025, the association is calling for practical measures including the restoration of free, time-limited parking and a reconsideration of business rate relief policies.
"The closure of Beales isn't just the loss of another shop – it's the end of a retail institution. Without meaningful intervention, we fear many more independent retailers will be forced to follow suit, permanently altering the character of our high streets," Mr Goodacre said.
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