Major UK supermarkets including Tesco, Aldi, and Sainsbury’s could soon experience a shake-up in their Sunday trading hours, as the government is reportedly mulling over easing restrictions.
The Grocer initially reported that insiders from the Treasury have hinted at potentially extending Sunday trading hours, amidst growing tensions over business rates reform for large retailers.
Government plans disclose that from April 2026, a new retail, hospitality and leisure scheme will be introduced, which will apply permanently lower multipliers to properties with a rateable value of less than £500,000.
To fund the permanent tax cut for smaller shops, business rates will rise for properties with a rateable value of more than £500,000 starting from April next year. The rate reform is expected to be revealed in the Autumn Budget.
Under the Sunday Trading Act 1994, small shops (under 280 sqm) can trade on Sundays without restrictions, while large shops (over 280 sqm) must open for a maximum of six hours between 10 am and 6 pm, except on Easter Sunday and Christmas Day, when they fall on a Sunday, reports the Manchester Evening News.
Exceptions exist for certain businesses, such as farm shops, petrol stations, and pharmacies, allowing unrestricted Sunday opening.
In September, leading retail figures warned Chancellor Rachel Reeves that the proposed business rates could likely lead to further shop closures and job losses on high streets.
Currently, the Sunday Trading Act dictates that large stores over 3,000 sq ft may only remain open for a maximum of six consecutive hours on Sundays, between 10am and 6pm.
Most supermarkets and major retailers presently operate between 10am and 4pm or 11am and 5pm on Sundays.
A source revealed to The Grocer: “It makes sense to change outdated Sunday trading laws to drive economic growth. Business rates are equally outdated so you can see why the government wants to reform them.”
This alteration might mean they can secure a higher rate over the line as well as offering consumers with more choice. “”.