Key Summary:
- ACS hails new 10-year UK Industrial Strategy as chance to boost investment and cut red tape for local shops
- FSB urges action on late payments and more SME-friendly procurement processes
- BCC sees promise in funding, energy cost relief, and flexible skills development
The Association of Convenience Stores (ACS) has welcomed the UK government’s new Modern Industrial Strategy, launched on 23 June by the Department for Business and Trade, as a positive step for small retailers looking to invest and grow.
The 10-year plan aims to improve the business environment across the country, with measures that include cutting regulatory burdens, boosting access to finance, and expanding skills support.
The strategy, while focused on eight high-growth sectors such as advanced manufacturing and clean energy, also promises economy-wide benefits for firms of all sizes.
“Our members are making the investments into communities that many other sectors will never reach into, and we are often the last remaining provider of products and services in those places,” said James Lowman, ACS chief executive. “It is vital that government policy focuses on these sorts of businesses and these types of locations if we are to achieve economic growth and for its benefits to be felt widely.”
Convenience retailers invested over £1bn in their businesses last year, according to the ACS’s Local Shop Report, funding improvements such as in-store tech, safety systems, and customer services. The sector employs more than 445,000 people across the UK.
Commitments announced in the Strategy, which are intended to benefit all businesses investing in the UK, include:
- Expanding access to finance
- Enhancing skills and increasing access to talent
- Reducing regulatory burdens and cutting the administrative costs of regulation for business by 25 per cent
- Removing planning barriers
- Supporting Mayors and local authorities
- Ensuring the tax system supports growth
- Strengthening local business environments across the UK
FSB: Strategy must be matched by action on late payments
The Federation of Small Businesses (FSB) praised the strategy’s focus on improving procurement opportunities, supporting innovation, and helping smaller firms adopt technology. However, it emphasised that tackling late payments remains critical to unlocking growth.
“Late payments by bigger businesses to their smaller suppliers can derail ambition for small firms and we’re pleased to see this serious issue highlighted in the document,” said Tina McKenzie, FSB policy chair. “We want to see poor payers banned from government contracts and grants.”
The FSB also welcomed the £4 billion investment initiative through the British Business Bank, and called for more SME spending targets in public sector procurement, particularly in defence.
BCC sees blueprint for long-term competitiveness
The British Chambers of Commerce (BCC) called the Industrial Strategy a “milestone” for creating a more competitive, resilient UK economy. Its director general, Shevaun Haviland, highlighted pledges on finance, skills, and energy cost relief as significant wins for businesses of all sizes.
“Plans to improve access to finance – a major barrier for many SMEs – will enable more firms to start, scale and grow,” she said. “We encourage businesses to get behind this strategy and champion the UK as the best place to live, work, invest, and do business.”
The BCC welcomed changes to the Growth and Skills Levy, enabling employers to access shorter training courses from April 2026, and said it was ready to work with the government on next steps.
What the strategy means for local retailers
While the headline sectors of the Industrial Strategy focus on advanced industries, ACS has urged the government not to overlook the foundational economy – including convenience stores – which play a critical role in local economies and underserved communities.
“Every sector needs the right conditions to promote investment,” said Lowman. “We look forward to working with the Department for Business and Trade on the application of the Modern Industrial Strategy in the convenience sector, finding ways to incentivise investment and reduce regulatory burdens for all businesses whether part of the eight high-growth sectors or not.”
