Next saw a profit boost in its first half results, as its CEO warned of “anaemic” growth outlook for the UK economy.

Pre-tax profits were up 13.8% to £515m for the six months to July. Group revenues rose 10.3% to £3.25bn, aided by favourable weather and the M&S cyber attack earlier this year.

The fashion giant maintained its full-year profit outlook of just over £1bn, noting that it remained cautious over its second half as revenues slowed.

The results came as Next boss Simon Wolfson warned chancellor Rachel Reeves over “anaemic” economic growth as well as an employment slump.

He noted that he remained cautious over prospects since “the medium to long-term outlook for the UK economy does not look favourable”.

Despite arguing that Britain was not approaching a recessionary cliff edge, he said the economic progress was being inhibited by “declining job opportunities, new regulation that erodes competitiveness, government spending commitments that are beyond its means, and a rising tax burden that undermines national productivity.”

The CEO said that employment, “particularly at the entry level,” faced the “triple pressure of rising costs, increasing regulation, and displacement through mechanisation and AI”.

Commenting on the brand’s interim figures, Wolfson said: “Our enthusiasm is tempered by the knowledge that the first half was boosted by factors that are unlikely to continue, and the belief that the UK economy is likely to weaken going forward.”

Next has been building its retail empire of late, acquiring maternity brand Seraphine earlier this year.

The fashion specialist acquired the branding and intellectual property of Seraphine after it fell into administration at the start of July.

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