Small Business Saturday could boost business confidence this year if Brits once again flock to the streets and show their support, a leading campaign group has said.
The hope comes ahead of this year’s Small Business Saturday UK on 7 December, an annual campaign created to encourage consumer engagement with the local high street ahead of each festive season.
The campaign, led by industry support group Small Business Britain and American Express, argued the festive period could provide a “lifeline” to those businesses struggling from a lack of confidence.
Some £20bn is estimated to be spent over the golden quarter, with 86 per cent of the 2,000 consumers surveyed this year expressing the importance of shopping local.
That said, the public is also expected to direct 22 per cent of all Christmas spend toward independent firms, meaning the small business community could see an incoming total of £4.4bn in spend.
Nearly 11m Brits shopped locally on Small business Saturday last year, spending a collective of £669m.
Some 38 per cent did so in recognition of the economic challenges small businesses have faced the year prior, especially following post-pandemic woes and the continuous cost of living crisis.
“Small businesses deliver an immeasurable value that goes beyond their economic contribution,” Michelle Ovens, director of Small Business Saturday UK, said.
“They are the heart and soul of our communities, bringing joy and vibrancy to our lives and local areas, as well as delivering essential local services,” Ovens added.
This year, Ovens said public support is “absolutely vital” for boosting confidence as many now face greater economic challenges as well as post-Budget fears.
S&P’s purchasing managers’ index (PMI) for the services sector recently found that business expectations for the year ahead were at their lowest level since December 2022.
The fall in business confidence came shortly after the government hiked employers’ national insurance in the Budget, a move which many business groups argue will hit growth as businesses deal with the extra costs.
But a successful festive season for Britain’s small businesses doesn’t just rely on the support from consumers, with many looking to the help of other fellow entrepreneurs as well.
Simon Henry of independent craft distillery York Gin said collaboration with other small businesses in the area – while introducing new and inviting products and services – has been a key strategy for growth this time around.
Henry adds: “We have also innovated by joining forces with other small businesses to offer fast-turnaround personalised engraving, as well as opening up the distillery for special Christmas tastings.
“Small businesses can create a lot of magic for people and the support we get back from the public makes all the difference to our business at this time of year.”
