Budget 2015: Sunday opening hours set to be relaxed

Shops in England and Wales could be allowed to stay open longer on Sundays under plans set to be included in George Osborne's first all-Conservative Budget this week.

Under the proposals, local authorities and elected mayors will have the power to relax laws which currently prevent larger stores from opening for more than six hours on Sundays.

The Chancellor says online shopping trends and a trial of longer hours during the 2012 Olympics suggested a "growing appetite" for Sunday trading.

However, the Association of Convenience Stores said the move would force small shops out of business, stating that the Olympic experiment had actually seen overall sales fall 0.4% during the Games.

It also said a poll it conducted in February found 76% of the public supported the current rules, with 60% of those in fact preferring stricter regulations on working hours.

Under the Sunday Trading Act 1994, smaller shops have been allowed to open all day, but those trading in spaces over 280 square metres or 3,000 square feet were restricted to six hours between 10am and 6pm.

The Chancellor's plans - which form part of a push to devolve more powers to local areas - are also likely to be resisted by religious leaders and unions.

The Treasury cites research which found two extra hours in London alone would create nearly 3,000 jobs and generate more than £200 millions a year in extra revenues.

In his first Budget since the Conservatives won a parliamentary majority, Osborne is also set to outline £12 billion in welfare cuts, as promised in the party's manifesto.

As well as expected cuts to the tax credits system, the Chancellor will also introduce a number of other cost-saving measures including cutting the benefits cap further than previously planned.

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