Retailer Shoe Zone has announced it is planning store closures as it blames the UK Budget changes to National Insurance Contributions and minimum wage for making shops "unviable".
The footwear giant employs around 2,250 staff across almost 300 stores throughout the UK, including one in Peterhead, but is now eying closures.
In a statement reported by The Times, Shoe Zone said: “Consumer confidence has weakened further following the government’s budget in October 2024, and as a result of this budget, the company will also incur significant additional costs due to the increases in national insurance and the national living wage.
“These additional costs have resulted in the planned closure of a number of stores that have now become unviable.”
Rising costs and slipping consumer confidence forced Shoe Zone to adjust its expected pre-tax profits for the year yo September 27, 2025, from £10million to "not less than £5million".
The company also confirmed it would not pay a final dividend for 2024.