Frasers Faces Economic Storm Amid Government Tax Hikes

British retailer Frasers points to government tax hikes as the cause of a decline in consumer confidence, which has led the company to cut its profit expectations. The budget increase has increased costs substantially, prompting concerns about reduced investments and slower economic growth.

Major British retailer Frasers has expressed frustration over the government's recent tax hikes, which it blames for declining consumer confidence and a necessary reduction in its annual profit forecast.

The company, which owns brands like House of Fraser and operates over 1,500 stores in the UK, saw its shares drop 12% after indicating tougher trading conditions alongside rivals.

Frasers anticipates additional costs due to the budget, while it continues to implement its 'elevation strategy' aimed at forging stronger ties with major brands and boosting its own brand development.

(With inputs from agencies.)