Following today’s Autumn Budget, Co-op has announced plans to “Back Britain” with a targeted £1 billion into the UK economy over the next 12 months, designed to “back Britain’s consumers, businesses and high streets.”
The plan reinforces Co-op’s belief that responsible business must play its part in tackling the cost-of-living crisis, whilst also supporting Britain’s future growth ambitions.
The UK’s largest consumer co-operative said its plan will channel focus and investment into lowering prices for both members and customers, whilst backing British sourcing, community-focused retailing and skills development – as new data shows households remain under pressure despite signs of wider economic recovery.
New insight from Co-op’s latest membership research shows that 58% of those who took part now rank the cost of living as one of their top three concerns, up from 51% in late 2024. Concern is even higher among younger members, with 72% of those aged 18 to 34 placing cost of living in their top three worries. Co-op, owned by its seven million members, said these concerns sit at the heart of its Backing Britain plan.
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Shirine Khoury-Haq, Co-op Group CEO, said: “Today’s Budget provides the clarity and certainty that small shops and local communities have been waiting for. The Government’s decision on business rates is a welcome and important step that will help protect jobs, strengthen local economies and support high streets across the country.
“Co-op is stepping up alongside this commitment, facilitating over £1 billion of spend into the UK economy over the next year. This includes our biggest ever number of price reductions to help with the cost of living, continued investment in British farmers and suppliers, and a focus on keeping high streets vibrant and safe.
“As a business owned by seven million members, not shareholders, we measure success in the value we create for people and places. Backing Britain reflects our belief that responsible business must play its part in the country’s recovery and future growth.”
Among its plans, Co-op is preparing one of its biggest ever number of price reductions next year, with a plan to significantly invest in lowering prices on over 1,000 products across its ranges in its 2,300 stores and online. The investment will be focused on categories that support British farming, produce, protein and dairy, with Co-op remaining committed to using British ingredients across all its products.
Co-op will spend over £580 million with GNFR (Goods Not for Resale) businesses that are based and operate from the UK. Additionally, through Co-op Power – its energy-buying arm – the group will deliver more than £6.4m of energy procurement over the next 12 months, helping UK organisations cut costs and source low-carbon energy.
Co-op is reviewing its pension investment approach with the intention of directing more of its defined-contribution fund towards UK companies and markets, supporting sustainable growth and responsible investment in the British economy.
Unsurprisingly, given its vast estate, Co-op welcomed the Government’s decision to deliver long-promised business-rates reform, saying it will help protect small shops, local jobs and investment on high streets across the UK. The retailer said the move provides much-needed certainty for community retailers and creates a stronger foundation for future growth.
Co-op plans to continue investing in approximately 100 stores across the UK over the next 12 months – including new openings, redevelopments, relocations and refits – ensuring essential retail services remain at the heart of neighbourhoods nationwide, including launches of new sustainable showcase stores, which are designed to minimise environmental impact through technology and good practice.
