Future of iconic homeware chain with 59 shops thrown into doubt after Budget tax raid fallout
Future of iconic homeware chain with 59 shops thrown into doubt after Budget tax raid fallout
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THE future of an iconic homeware chain has been thrown into doubt following the fallout of Rachel Reeves' Budget tax raid. The retailer, which has 59 shops across all corners of the UK, is scouting out potential buyers. Lakeland, which sells cooking and cleaning products as well as other home appliances, employs around 1,000 people.
![[Lakeland store entrance in a shopping mall.]](https://www.thesun.co.uk/wp-content/uploads/2025/01/eaj5w1-lakeland-store-entrance-shop-318370465.jpg?strip=all&w=960)
The family-run business was launched 61 years ago and is now spearheaded by the three sons of founder Alan Rayner. Now, the brothers have selected advisory company Teneo to help them navigate a potential sale, city sources told Sky. Lakeland's main lender, HSBC, is reportedly being advised by accountancy firm PricewaterhouseCoopers.
![[Lakeland store display of cookware.]](https://www.thesun.co.uk/wp-content/uploads/2025/01/dtfgep-lakeland-store-interior-display-966340900.jpg?strip=all&w=960)
The company is headquartered in Windermere, Cumbria but has stores across England, Scotland, Wales and Northern Ireland. It follows Reeves' first Budget in October, which was dubbed "the most damaging for independent retailers in recent memory" by the British Independent Retailers Association.
The Chancellor controversially announced tax rises amounting £40billion - including raising the rate of employer National Insurance contributions. This, alongside increasing minimum wage, has hiked costs for retailers and led some to raise their prices to absorb the increase.
Figures this month showed bosses had wasted no time in pulling permanent recruitment adverts, with December seeing the steepest drop in job vacancies in well over four years. A closely watched report by KPMG and REC, compiled by S&P Global, shows the job market is already shrinking, with companies explicitly blaming the rise in employer national insurance contributions.
