Clarks again in revenue – however Shoe Zone warns of a darkening outlook as it’s hit by Labour tax hikes and the Iran conflict

Clarks has returned to profit after two years – but major stockist Shoe Zone warned of a gloomy outlook as it is hit by Labour tax hikes and the Iran war.

British shoe group Clarks posted profits of £44.8million for last year, having made a loss of £39.2million in the previous 12 months. 

Clarks – which has previously teamed up with music legend Nile Rodgers to promote its shoes – hailed a ‘pivotal’ year, even after sales fell 3.3 per cent to £871.5million as shoppers became ‘increasingly cautious, selective and value-driven’ due to higher costs.

Shoe Zone – which stocks Clarks shoes – warned of annual losses of up to £2million, blaming Labour’s tax raid. 

The retailer said ‘continued weakening’ in consumer confidence caused by successive Budgets and the war in Iran has created ‘challenging trading conditions’.

On song: Clarks, modelled by guitarist Nile Rodgers (pictured), posted profits of £44.8m for last year having made a loss of £39.2m in the previous 12 months