Homebase puts pressure on suppliers

Sources from across the industry have been contacting the Insight DIY offices this week, informing us of letters received in the last seven days from Homebase.

The letters, from Paul Emslie, Homebase Commercial Director, begin by wishing the suppliers Happy New Year and then 'informing' them that from the 1st March 2014, they will be amending their standard trading terms to include an additional rebate for all orders placed on or after that date.

They also state in the same letters that they wish to 'discuss and agree' changes to the supplier payment terms.

Following hot on the heels of a similar initiative from Topps Tiles last year, now that the market is starting to pick up, suppliers should be aware that this will again become an increasing trend from retailers desperate to improve their margins.

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