Benefits of new arrival
Royal baby to deliver £80 million instant boost to UK economy
So, not just “a baby”, but an instantly big-bucks earning Royal whose contribution to tourism and trade has already stirred up excitement among retailers and manufacturers of a range of souvenir and baby products from plates to prams.
One company that saw sales rise following the birth of the Duke and Duchess’s first child, Prince George, was luxury pram maker Silver Cross. Its prams have been used by a number of British royals over the last century and the Duchess, Kate Middleton, chose to carry on the tradition with her son.
Sales-starved newspapers were also expecting a welcome boost in circulation, although some, including the Independent on Sunday and the Sunday Herald, thought it wiser to play down the story.
The birth of the so-called spare will not provide as big a boom as the heir to the throne, but being a girl makes her especially significant. As she grows older there will be particular interest in how much she may look like or dress like her much-missed grandmother, Diana.
Bryan Roberts, director of retail insights at Kantar Retail, expects a “modest uptick for retailers.”
He told CNBC, the US broadcaster: “After the birth of George, we saw a lot of retailers try and clamber on the bandwagon in terms of merchandising, but I don’t think it will be as big for retailers as last time.”
Joshua Bamfield, director of the U.K.’s Centre for Retail Research (CRR), said he expected the new arrival to bring a short-term boost to the UK economy of around £80m with about £20m to £35m spent on souvenirs.
However, he said the retail and fashion industries would benefit more from the baby being a girl.
“Right up to when she’s older and attending proms or balls, she will be getting a lot of media attention in terms of fashion.”
The birth of Prince George in July 2013 gave UK retail sales a two-month £243 million boost, according to an estimate by the Centre for Retail Research in Nottingham.
Bookmakers received £1.6m in bets on everything from the boy’s name to the colour of his hair and his future job.