The German retail sector begins 2026 under pressure, with rising operational costs and subdued consumer demand creating uncertainty for businesses. The German Retail Federation (HDE) warns that without decisive economic measures, retailers may struggle to focus on their core activities.
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HDE President Alexander von Preen emphasised the need for bold implementation of government policies, noting:
"2026 must be a year of reforms. Relief measures should reach businesses and households quickly, while structural reforms such as reducing bureaucracy must be prioritised."
Key areas highlighted by the HDE include:
- Reducing bureaucratic hurdles to allow retailers to concentrate on core operations.
- Implementing the Pay Transparency Act in a way that exempts companies under collective agreements from certain documentation, strengthening social partnership.
- Restoring consumer confidence, as 2025 saw stagnation in consumer sentiment, negatively affecting retail performance.
The HDE stresses that the federal government must provide clear economic signals to support both businesses and consumers and ensure a sustainable recovery for the sector.
More information:
HDE
www.einzelhandel.de
