Campaigning to retain the existing Sunday Trading regulations

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  • The proposals will create a domino effect with over 50% of local authorities saying they would deregulate Sunday trading hours in their area because of pressure from neighbouring authorities' longer opening hours.

  • There is a detrimental impact on small and convenience stores, many of which rely on the small boost in trade they get on Sunday evenings to keep going. (ACS - 2015)

  • 67% of local authority chief executives believe that differing opening hours in neighbouring areas would displace shopping trade from some zones to others. (ACS - 2015) 

  • Sundays will lose a lot of what makes them special – please don't let this happen.

The Government has been determined over the last five years to deregulate Sunday trading, this is their fourth attempt and this time they have dressed it up as devolution. We do not believe this is genuine devolution and it will not give local authorities any real powers to influence the retail sector in their areas.

Retailers are concerned about a potential postcode lottery on trading hours regulations and the amount of red tape that will impose on their businesses. Retailers value stability and transparency, so a single regulatory regime across the whole of England and Wales is less burdensome on local authorities and retail companies. Even those who want to see longer opening hours do not think devolving the decision is helpful.

There has been a sensible direction of travel away from local authorities retaining administrative burdens around Sunday trading. We supported a change to the Sunday Trading Act to stop councils having to keep registers of shops that intended to trade on Sundays and their trading times, along with the requirement for retailers to notify the council if their Sunday trading hours are changing. We believe the current proposal would be a backward step.

ACS Local Authority Chief Executives Survey 2015, ACS, August 2015

Divisive Zoning of Sunday Opening

The Government is proposing that councils and elected mayors could have zones within their authority areas where Sunday trading hours can be extended. We believe this to be a very divisive proposal that encourages local authorities to favour some local retailers over others. Not only will that lead to a souring of relationships with some large and important local employers, but we believe legal challenges could be mounted where retailers have been 'zoned out' of additional Sunday opening hours. A simple and transparent regulatory regime across England and Wales is required and the current regulations have provided that for over 20 years. If the Government want to extend Sunday trading hours they should make that decision at national level and not have the chaos of hundreds of different regulatory regimes across the country.

The Sunday Trading Act 1994 was decided after two years of debate on Sunday trading hours. It is a great British compromise, where:

  • We have the longest opening hours in Europe and people who want or need to shop on Sundays can do so.
  • People who want to work can do so, sometimes for a higher rate of pay.
  • Smaller stores can open for longer, staffed by family members, or by very few staff, helping small stores remain viable and preserve the high street.
  • Sundays are preserved as a special day, especially for families.

The proposal to enable Local Authorities to regulate the trading hours in their areas came in the Budget 2015 after the Government twice consulted since 2010 on extending Sunday trading and twice decided not to proceed because of the overwhelmingly negative response from retailers, customers and shopworkers, and after the temporary deregulation of Sunday Trading during the Olympics proved to be an almighty flop with retail sales declining. The consultation also proposes giving Local Authorities the power to zone which part of their local area might 'benefit' from longer hours. This strengthens the ability of large retailers to pressurise Local Authorities whilst taking no account of the detrimental impact on small stores within the zoned area already able to open under current legislation.

The Chancellor has claimed that the power to alter trading hours to allow additional opening hours on Sundays would assist with regeneration. However, government consultations, economic analysis and the results of Olympic Sunday trading have shown that there is no economic benefit, but that longer Sunday opening by large stores damages the viability of small stores:

  • The British Retail Consortium's figures showed that during the Olympic Sunday Trading period, retail sales fell by 0.4% compared to the previous year (BRC monthly footfall indices, August 2012). BIS reported that analysis of ONS data for the period shows the impact was, "largely inconclusive in terms of economic benefits, with modest benefit to the larger retailers but a more significant loss to smaller retailers". (Letter from Jo Swinson MP, BIS Minister to John Hannett, June 2014)
  • The Government's Red Tape Challenge in 2011 received around 3,000 responses from companies, retail staff and third parties. At least 90% of respondents supported the retention of the Sunday Trading Act. Following the consultation, the Government's 'retail sector champion' Kevin Hawkins, a former Director General of the British Retail Consortium, said about supermarkets and restricted Sunday opening:

    "They have all lived with it very well. What we have got is a workable compromise. Most people seem to be satisfied with it most of the time."

  • The Government's Cost-Benefit Analysis of deregulation of Sunday Trading in 2006[i] concluded that extending the hours of Sunday trading would not result in any increase in retail sales or in employment.

    Furthermore, the report stated that liberalisation of Sunday trading would have a detrimental effect on small stores (and therefore on High Streets) and would also speed up reductions in Sunday premium pay for staff.

In spite of the lack of economic benefits, retail is essentially competitive and it is vital for stores that they do not lose customer loyalty.

Local authorities and elected mayors will come under severe pressure from a few large retailers, who think they could gain competitive advantage by opening longer on Sundays. Often those stores which refuse to pay any extra for Sunday work feel they can undercut employers who do pay a Sunday premium.

But once one Local Authority agrees to extend Sunday opening hours, stores in neighbouring council areas will complain that they are losing trade to shops which can open longer. So we will see a 'domino effect' where councils will feel forced to extend opening hours for large stores, regardless of the impact on retail staff or on small stores.

The ability of small stores of under 3,000 square feet (about the size of a tennis court) to open longer hours on Sundays is often a lifeline that helps to keep small stores and convenience stores open, and this helps to preserve local high streets.

During the eight weeks of longer Sunday trading for the Olympics, members of the Association of Convenience Stores reported up to a 20% reduction in sales over the eight week period and a 30% reduction in footfall.

The 'more significant loss to smaller retailers' recorded by BIS, would be detrimental to many small and convenience stores, many of which provide a vital service to customers who do not have a car and would be greatly affected by the loss of these local stores.

The recent intensifying of competition in retail, the squeeze on costs and overall staffing reductions have led to more widespread practices of changing staff hours 'to suit the needs of the business' and increased flexibility demanded of staff to match their working hours to the times when shops are most busy.

Many retail workers are parents and/or carers. Sundays are important family time when children are not at school and few care options are available. Most staff have to work on Saturday, retail's busiest day, so Sundays are very important to them.

Usdaw's survey of 1,500 staff in large stores in October 2014 showed that two-thirds already came under pressure to work on Sundays when they did not wish to, with even more carers coming under pressure – nearly three quarters.

Whilst shopworkers do have the right to opt out of Sunday working, many find they are unable to use it due to pressure from management, and the fact that their working hours can be cut if they opt out of Sundays – which most cannot afford.

Sunday working interferes with family life, especially on the ability of parents to spend quality time with their children who may well be at school, and partners who work Monday-Friday/Saturday. The shorter Sunday hours allow even those who do have to work to finish early and have some family/social time or to attend a religious service – often the only time for this is the weekend as so many staff have to work Saturdays (still the busiest day in retail).

93% of Usdaw's members do not want to see Sunday trading hours extended.

The Government has consulted on the deregulation of Sunday Trading hours three times in the last four years and each time has found an overwhelming majority opposed.

A ComRes poll commissioned by ACS in March 2014 found:

  • 77% of consumers support existing Sunday trading legislation.
  • Of those that want a change in Sunday Trading laws, 56% called for greater restrictions on supermarket trading hours.

There is good reason that the Budget proposals have been labelled 'phoney devolution'.

Once one Authority decided to allow longer opening, retailers in neighbouring areas would be fearful of losing out, and would put pressure on their own Authority to extend hours similarly.

Authorities would be faced with having to extend trading hours to prevent economic detriment to stores in their area, and would lack a real choice.

And it would be Local Authorities that would shoulder the blame for the detrimental impacts on small stores and high streets, on thousands of local shopworkers, on families and communities.

For all these reasons Usdaw strongly urge Local Authorities to reject the offer of powers to set local trading hours.