Business Rates and Tax Relief 

Retail, hospitality, and leisure sectors will benefit from permanently lower business rates starting in 2026-27. Until then, businesses can access a 40% relief, capped at £110,000 annually. This provides temporary financial relief, particularly for small to medium-sized retailers, allowing them to redirect savings towards innovation and growth.

National Insurance Contributions (NICs) 

From April 2025, employers’ NICs will increase by 1.2 percentage points, and the threshold for secondary NICs contributions will drop to £5,000. These changes will significantly raise payroll costs, intensifying the need for cost-saving strategies elsewhere. MultiPay’s Pay by Bank solution offers one way to offset these increased costs by reducing transaction fees.

Minimum Wage Increase

The national living wage will rise by 6.7%, to £12.21 per hour. While this supports consumer spending, it adds to retailers’ wage bills. By using Pay by Bank to eliminate interchange fees, retailers can absorb these additional costs more effectively.

Energy Efficiency Incentives

With £3.4bn allocated for the Warm Homes Plan, incentives for energy-efficient upgrades may help retailers reduce utility expenses in the long run. Savings from Pay by Bank could supplement investments in sustainable solutions.

Inflation Outlook and Consumer Spending

Inflation is forecast to stabilise at 2.5% in 2024, which could bolster consumer confidence and spending. Retailers can capitalise on this by reinvesting savings from transaction fees into customer experience enhancements and loyalty programs.

Enhancing Customer Experience 

With economic pressures mounting, delivering exceptional customer service is more important than ever. Savings from Pay by Bank can help retailers:

• Modernise their physical and digital stores.
• Offer faster, hassle-free checkout options.
• Develop loyalty programs to retain customers amid increased competition.

Investing in Staff 

The rise in minimum wage and NICs underscores the need to support employees effectively. Retailers can allocate savings to:

• Increase wages to retain top talent.
• Fund training programs that up-skill staff for the future.
• Enhance workplace conditions to improve morale and productivity.

Driving Digital Transformation 

Digitalisation is essential for staying competitive. Retailers can use savings to:

• Upgrade e-commerce platforms to attract and retain online shoppers.

• Invest in data analytics for personalised marketing strategies.

• Implement emerging technologies like AI-driven inventory management or augmented reality for immersive shopping.

Addressing Budget Pressures with Innovation 

The Budget 2024 presents both opportunities and challenges for retailers. While measures like business rate relief and energy efficiency incentives provide some breathing room, increased payroll costs and inflation require strategic planning. MultiPay’s Pay by Bank solution offers a timely way to reduce expenses and reinvest in resilience.

Delia Pedersoli, COO of MultiPay Group, emphasises the value of innovative payment solutions in this climate:

“Retailers are under pressure to do more with less. Pay by Bank not only reduces costs but creates opportunities for reinvestment in staff, customer experience, and technology.” 

Building Retail Resilience 

Thriving in today’s retail environment requires more than survival tactics – it demands strategic innovation. With Pay by Bank, retailers can:

• Reinvent their offerings to stay relevant.
• Modernise payment systems for greater efficiency.
• Focus on long-term growth instead of short-term cuts.

David Maisey, CEO of MultiPay Group, emphasises the broader vision:

“Our mission is to empower retailers by providing solutions that not only address today’s challenges but also prepare them for tomorrow’s opportunities. Pay by Bank is a prime example of how innovation can drive resilience and growth.”

A Timely Solution for Today’s Retail Landscape

In an era of inflation and rising operational costs, safeguarding profit margins is vital – especially for independent retailers. Pay by Bank offers an immediate solution, eliminating interchange and scheme fees to put money back into the pockets of retailers.

“Retailers need every advantage to stay competitive,” says Delia Pedersoli. “By reducing unnecessary fees, Pay by Bank helps protect their bottom line, freeing resources for long-term investments in customer service and digital growth.”

Meeting Customers’ Evolving Expectations

Today’s shoppers demand convenience, security, and speed. Pay by Bank meets these needs with a seamless payment process, ensuring funds are transferred directly and securely. This eliminates delays, reduces errors, and minimises disputes, strengthening retailer-customer relationships.

Delia Pedersoli, COO of MultiPay Group, underscores this impact:

“Independent retailers are the backbone of our communities. By reducing transaction costs, Pay by Bank gives them the tools to thrive and continue delivering value to their customers.”

A Bright Future for Retailers

The opportunities unlocked by Pay by Bank are vast. From reinvesting in teams and improving customer engagement to driving digital transformation, retailers can harness these savings to secure their future.

In a world where customer loyalty and adaptability determine success, MultiPay is proud to partner with retailers, equipping them with tools to navigate an ever-changing industry and emerge stronger.

About MultiPay Global Solutions

MultiPay Global Solutions is a leader in payment technology, delivering seamless, all-in-one payment solutions across various sectors. With headquarters in London, Milan, and Copenhagen, MultiPay’s personalised approach and robust technology empower merchants to accept any payment, anywhere.