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WM Morrison’s supermarket chain has become the latest UK seller, who warned that he would accelerate the reduction of costs after a recent increase in the government tax on employers because the chancellor defended the move.
Executive Director Rami Baitiéh, which Joined a supermarket owned by private capital In 2023, in order to revive his wealth and arrest the fall of sales, he said that his existing savings program would be partially accelerated in response to Chancellor Rachel Reeves in contributing to National Employers’ Insurance and National Life Wage presented in her October budget.
Baitiéh He said he was “with budget pressures. . . I’m talking about how we can go heavier and deeper ”to make the seller more effective and more productive, saving £ 312 million in costs in the year to October 27. The Morrisones National Insurance Account will increase by £ 75m a year, he said.
The Food Product Chain, which US company Clayton Dububilier & Rice acquired in a purchase within 2021, did not plan to reduce jobs at the moment, Baitiéh added, after SunSbury’s rival said this month this month Would the ax 3,000 jobs.
Baitiéh’s comments came as Reeves, in Speech on WednesdayShe defended her decision to increase NIC employers, but admitted that there were “consequences for work and beyond”.
Separately, Morrison He praised himself by recording the strongest quarterly improvement of sales in almost four years, thanks to the better availability of products and competitive prices that the customers attracted to their stores.
But since his financial year ended, growth slowed down the quarter in the quarter after Cyber attacks with technology provider influenced the availability and then reached Christmas sales.
Baitiéh said: “Nothing in retail is a straight line and that was certainly the case in the first quarter. Our availability improves, and although it remains above last year, it has not yet returned to the level before the incident.”
Morrison is the fifth largest supermarket in the UK by market share. According to information from the industry this month from Kantar, the growth of the sales of Morrisones laged behind Tesc and Sainsbury’s – the two largest British supermarket chain – as well as Diskonters ALDI and Lidl during the festive period.
Morrisons’ sale similar to 4.9 percent increased in its fourth quarter to 27 October-Follower of the quarter from the beginning of 2021 comparison with an increase of 3.3 percent in the same quarter of the previous year.
Group year -round sales similar to 4.1 percent, while total revenue increased by 3.8 percent to £ 15.3 billion. The fundamental profit, its preferred metric, increased by 11.2 percent to £ 835 million, the company said.
The annual loss before the tax was widely halved by around £ 500 million, according to the Finance Chief Jo Goff, and the net debt fell to around £ 3 billion, with 5.5 billion pounds “at its peak”. His annual interest payments are around £ 250 million a year, she added.
Last year Morrisones agreed with an agreement Sell a job with gasoline traffic Motor fuel group, also owned by CD & R, with a majority of £ 2.5 billion used to pay debt.
Eleanor Simpson-Gould, a retail analyst in Globaldata, said: “Morrisones began to come out of the dark period of weak sales and an increase in debt with a reinforced balance.”
