THE RETAIL BULLETIN - The home of retail news
Click here
Home Page
News Categories
Commentary
Department Stores
Electricals and Tech
Entertainment
Fashion
Food and Drink
General Merchandise
Grocery
Health and Beauty
Home and DIY
Interviews
People Matter
Retail Business Strategy
Property
Retail Solutions
Electricals & Technology
Sports and Leisure
Christmas Ads
Shopping Centres, High Streets & Retail Parks
Retail Events
People in Retail Awards 2024
Omnichannel Futures 2024
Retail HR Central 2024
The Future of The High Street 2024
Retail HR Summit
THE Retail Conference
Upcoming Retail Events
Past Retail Events
Retail Insights
Retail Solutions
Advertise
About
Contact
Subscribe for free
Terms and Policies
Privacy Policy
Mulberry closes its Bond Street store as the Government ends VAT-free shopping

Premium fashion retailer Mulberry has closed its Bond Street store, citing the axing of VAT-free shopping as a major factor in the decision. VAT-free shopping for tourists… View Article

FASHION RETAIL NEWS UK

Mulberry closes its Bond Street store as the Government ends VAT-free shopping

Premium fashion retailer Mulberry has closed its Bond Street store, citing the axing of VAT-free shopping as a major factor in the decision.

VAT-free shopping for tourists was axed from January 2021, then reintroduced by former chancellor Kwasi Kwarteng and then once again cut by new Chancellor Jeremy Hunt.

In December 2022, Mulberry CEO Thierry Andretta publicly said that the Government’s move to end tax-free shopping had hammered trading in its high-end stores in the capital, particularly its Bond Street outlet.

Andretta said its Bond Street store, which has sky high rents and business rates, used to see up to 50% of sales from international tax-free shoppers, but this had been decimated to less than 5%.

He commented: “Some wealthy people now prefer to go shopping in Paris or Milan or other capitals – it’s really hitting us. The wealthy are still buying but they’re not choosing to buy in London. (VAT-free shopping) is something we would like the Government to reinstate.”

Mulberry also said high business rates and rents had made the 5,442 sq ft store “commercially unviable”.

A Mulberry spokesperson said: “The lack of VAT-free shopping in the UK has been particularly felt on Bond Street, which has always been an iconic shopping destination for tourists. The decline in visitors has impacted footfall and sales, which taken together with the high business rates and rents has made the store commercially unviable resulting in us taking the difficult decision to close this store.

“We are pleased to say that there will be no redundancies and all colleagues are being redeployed across our London store network. Customers can continue to shop on our website or visit our other stores, including our flagship store on Regent Street. We hope that we are able to open another Bond Street store in the future.”

 

Subscribe For Retail News