Thomas Sabo UK returns to profit but warns over business rates

High-end jeweller Thomas Sabo swung into the black last year — but on Wednesday warned a steep rise in business rates has hindered London expansion plans.

The German brand reported a £437,949 profit in the UK compared with a £27,349 loss a year earlier after slashing costs and posting a 3% rise in revenues to £26 million in the year to June 30.

But the firm, founded in 1984, revealed it will see rates surge by between 45% and 100% at its five London and South-East standalone shops, because of the Government’s revaluation of the rateable value of commercial property.

UK managing director Jon Crossick told the Standard that the company wants to grow here but the process will take longer than expected.

He said: “Our options for new London stores are narrowed following the rates revaluation.”

The UK arm, which counts celebrities Frankie Bridge and Amanda Holden as fans, was helped by demand for its Together Forever romance range, which includes a £360 silver necklace.