Halfords plans to hike servicing prices amid budget pressures
- Halfords reported a £23 million increase in direct labor costs due to the UK's autumn budget measures.
- Graham Stapleton, the company's CEO, called for more governmental support for businesses amidst these rising costs.
- The company may increase prices for its servicing and repair services as a response to these financial pressures.
In the United Kingdom, Halfords announced that it might need to increase prices for car servicing and repair as a strategy to manage a £23 million rise in costs following the recent autumn budget. The company, which employs over 12,000 people, highlighted that £9 million of this cost had already been factored into their planning. Graham Stapleton, the CEO, expressed concerns regarding the significant impact of the budget measures on specialized retailers that provide face-to-face customer assistance. Additionally, he called for the government to enhance support for businesses, particularly through the quicker implementation of apprenticeship levy reforms which could help mitigate some of the financial burden. Although it's expected that Halfords could pass these cost increases on to consumers, the overall effect of the budget on consumer behavior remains uncertain.