Car parts to bicycles retailer urges government to do more to encourage people to train as technicians
Shares in Britain's Halfords slumped 19% on Thursday after it cut annual profit forecast and the motor parts and cycling retailer said it was struggling with labour shortages and weaker demand for bicycles amid a cost-of-living crisis. British businesses are battling inflationary pressures and tepid demand as soaring prices of everything from energy to food are forcing consumers to curtail non-essential spending as they try to make ends meet. Halfords adult bike sales shrank 12% in the final three months of 2022 from a year ago as a surge in demand for bicycles during the peak of the COVID-19 pandemic faded.
“We also expect the consumer tire market to recover through the course of the year,” Stapleton added, “consumers will, however, continue to face inflation, and we therefore do not expect a significant short-term recovery in high ticket, discretionary spending.”