Fashion chain chief says hefty rise in clothing prices may be on the way

Clothing prices will rise by up to 10% next summer if the pound/dollar exchange rate stays at current levels, the boss of the fashion chain Next warned yesterday.Simon Wolfson, chief executive of the 480-shop chain, said the decline in the value of sterling in the last few weeks would make clothing imports more expensive and price rises would hit the fashion rails next August, when the 2009 autumn and winter ranges first go into the shops. Most clothing on sale in UK stores is sourced in Asia and is priced in dollars.Wolfson said the exchange rate would have little impact on Next's spring and summer ranges as the retailer had already bought dollars to pay its suppliers, but it would have a "material impact" on next autumn's shop prices.The pound/dollar exchange rate has fallen more than 15% in the last three months, from... [read full story]