Beales: UK department store closing down Poole shop after 140 years - blames rising costs

• Beales, one of the UK’s oldest department stores, is closing its final shop after 140 years
• The closure of its Poole branch by the end of May is attributed to rising taxes and wages from the Budget
• The retailer has faced pressure from changing shopping habits, with younger shoppers shifting to online stores
• Beales entered administration in 2020, leading to the closure of 22 out of its 23 locations
• Industry leaders have warned that rising costs could lead to more closures across the retail sector

One of the UK’s oldest department stores is closing its last remaining store after more than 140 years, blaming increases in tax and wages from the Budget.

Beales, which first opened in Bournemouth in 1881, has announced that its Poole branch in the Dolphin Centre will close by the end of May.

Retail industry leaders said that the store’s closure highlights the severe impact of rising national insurance contributions and the higher minimum wage, which will take effect from April.

Beales CEO Tony Brown told the Telegraph that the business had become “unviable” as it faced additional cost hikes outlined in Labour’s October Budget.

“This, coupled with the risks and uncertainty of further tax increases in the coming years, have left us no other option,” he said. “We have been working with the Dolphin Centre, who have been supportive, along with our investors to ensure an orderly exit.

“Our team has been informed, as have our suppliers. We will ensure the exit is managed and no one will be left with a financial loss.”

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The retailer has faced growing pressure from changing consumer habits, with younger shoppers increasingly opting for online competitors instead of large high street stores.

In January 2020, Beales entered administration, resulting in the closure of 22 out of its 23 stores. The British Independent Retailers Association (Bira) warned that the latest closure could be the first of many as retailers struggle with mounting costs.

Commercial director Jeff Moody said: “We are deeply saddened to learn of Beales’ closure. This is not just the loss of another shop – it represents the end of a retail institution that has served communities for nearly one-and-a-half centuries.

“This closure starkly illustrates the devastating impact that recent tax increases are having on our retail sector.”

What do you think about Beales' closure and its impact on the retail industry? Have you shopped at Beales in the past, or do you feel the shift to online shopping is inevitable? Share your thoughts in the comments section.