Watches of Switzerland boss slams tax rises and says retail is 'taken for granted'
The boss of Watches of Switzerland has slammed high taxes under Labour and warned of a threat to High Street jobs – particularly for young people.Brian Duffy, chief executive of the UK’s largest luxury watch seller, said the Government takes retailers ‘for granted’ as many grapple with the burden of rising business rates.‘We are the famous nation of shopkeepers, but that hasn't got through to government thinking at this point,’ Duffy said.High taxes have left the UK as ‘one of the most expensive places’ in Europe for retailers to operate, he said.There are concerns that the ‘Saturday job’ for young people is under threat due to retailers’ struggling with their costs.‘I don't quite know why the government aren't more open to understanding the challenges that retail faces and the importance of retail to the economy,’ Duffy said. Watches of Switzerland is the UK's largest retailer for brands including Breitling, Rolex and Cartier Duffy explained: ‘I think the retail sector is taken for granted. We also employ young people, particularly [that] can often be where you're starting your career. As the labour market is slowing down, is getting softer, [this] employment is becoming more and more important.’Official figures show there were an estimated 366,000 young people not employed or in education aged 16 to 24 in July to September 2025.Employers are also still struggling with an increase in the national minimum wage and an increased rate of employers' national insurance last April.And the previous Conservative government’s decision to scrap tax-free shopping is holding back sales of high-end goods, especially among tourists from the Middle East and China, Duffy added.Business rates are the commercial property levy that has been long loathed by retailers for disproportionately taxing them compared to online businesses.The Chancellor sparked outrage at her Budget in November when she announced a series of changes to the system, which she pledged would ease the pressure on High Street businesses.But many retailers and hotels will see their bills go up in April - despite pubs being granted relief after a massive backlash that saw Labour MPs banned from premises across the country.‘Business rates are a problem. ‘[The lack of] tax free is a problem. National Insurance increases are a problem. And we're having to find our way, navigate our way through all of it,’ Duffy said.It comes as Duffy said he was ‘really pleased’ with the group’s performance over the key Christmas period, despite not giving specific numbers for the 13 weeks to 25 January.The retailer told investors it expects sales for the 2026 financial year to rise between 9 per cent and 11 per cent - compared with previous guidance of 6-10 per cent.‘Demand for the group's key luxury brands remains strong and continues to outstrip supply in both the UK and US markets,’ it said.Duffy said he was pinning his hopes on a stronger consumer in the US amid hopes luxury is emerging from several years in the doldrums.He said: ‘I think the US has been a really important priority market for luxury.’This came as the UK has been held back by depleted tourist spending, the European market is ‘reasonably subdued’ and ‘China hasn't made the recovery that people were anticipating at this point,’ he said.DIY INVESTING PLATFORMSAJ BellAJ BellEasy investing and ready-made portfoliosHargreaves LansdownHargreaves LansdownFree fund dealing and investment ideasinteractive investorinteractive investorFlat-fee investing from £4.99 per monthFreetradeFreetradeInvesting Isa now free on basic planTrading 212Trading 212Free share dealing and no account feeAffiliate links: If you take out a product This is Money may earn a commission. These deals are chosen by our editorial team, as we think they are worth highlighting. This does not affect our editorial independence.Compare the best investing account for you
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Watches of Switzerland boss slams tax rises and says retail is 'taken for granted'
