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A veteran Savile Row tailor who has invested £2m in a new West End store has pleaded with Chancellor Jeremy Hunt to reinstate tax breaks tomorrow for tourists to give the British High Street a major boost.

Sean Dixon, co-founder and managing director of Savile Row's famous bespoke tailor Richard James, said that currently UK shops are losing out to fashion houses in places such as Paris and Milan.

The Government scrapped VAT-free shopping for tourists three years ago, a move which particularly affected luxury retailers who rely on affluent tourists.

The Richard James brand has long been a favourite of celebrities including Daniel Craig, David Beckham, Jude Law, Tom Cruise, Sir Mick Jagger and Sir Paul McCartney. And to bring it to a new audience its flagship store has been given its own bespoke makeover.

Mr Dixon, who helped set up the exclusive Richard James tailoring business in 1992, was speaking as he launched a new store for fitted suits only, opposite the first shop he opened in Savile Row, 31 years ago.




Tailor Sean Dixon, co-founder of the Richard James label, pictured in his new Saville Row shop





Mr Dixon (pictured above) is calling on Chancellor Jeremy Hunt to reinstate the VAT refunds for tourists





Chancellor Jeremy Hunt (pictured in Westminster on Tuesday) is due to deliver the Budget on Wednesday

But he said although London had the finest restaurants and tourist attractions, visitors had been driven abroad to their shopping.

'It is ridiculous. I know that people won't shop here or they won't spend what they usually spend.

'They will go and spend their money in Paris or Milan or Berlin or somewhere else.

'It is not just that it affects retail. In hotels people won't stay as long as they would normally. I think it is crazy, crazy.

'Everyone around here has the same conversation and that it is a crazy thing to have got rid of.

'The VAT reduction simply makes it more attractive to shop here and it is as simple as that.

'Say, if you are visiting from China and you definitely want to come to London and it is on your checklist. That is great, you stay here in lovely hotels, eat out in the restaurants and maybe go to the theatre.




Mr Dixon (pictured above) said UK shops are losing out to fashion houses in places such as Paris and Milan





The Richard James co-owner (pictured) said reinstating VAT refunds for tourists was a 'no-brainer' 

'But they then go and do their shopping in Paris because that is the next trip or stop. It is that basic. 

'The Chancellor has his budget next week and we are hoping that it may re-appear. There has been a fair amount of lobbying and it is a no-brainer that he should reinstate the VAT refunds for tourists.

'I feel very strongly that it was a bad decision. It has put retailers, especially in London, at a disadvantage as a lot of the shopping now gets done elsewhere.

'I think it has a knock-on effect in terms of jobs, jobs creation and it puts us at a huge disadvantage.

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