The German retail sector anticipates a modest increase in turnover for 2025, maintaining a previous forecast of a nominal two percent rise, according to the Handelsverband Deutschland (HDE). The trade association announced this on Monday.
A recent survey conducted by the HDE, encompassing approximately 650 retail companies, reveals a divided outlook for the second half of the year. Forty-two percent of retailers predict stagnant sales, while a significant portion, roughly one-third, expect sales declines.
The sector is grappling with rising employer costs, particularly in social security contributions. Consequently, the HDE is advocating for a cap of 40 percent on total social insurance contributions.
“The retail sector is evaluating the actions of the new federal government” stated HDE President Alexander von Preen. “Promises have been made to provide tangible relief and stimulate economic growth. Retailers are relying on this”. Von Preen emphasized the industry’s commitment to responsibility in recent years and urged policymakers to now take responsibility and implement relief measures that directly benefit retailers.
