Large retailers could soon be open longer on Sundays following plans to be revealed in today’s Summer Budget, according to reports.

Chancellor George Osborne looks likely to hand over control of Sunday trading hours to locally elected mayors and councils.

Currently, large stores cannot open for more than 6 hours on Sundays. Smaller retailers have more freedom.

Jobs and sales boost

It is hoped more relaxed opening hours would give the UK’s high streets and retail sector a shot in the arm.

Research by the New West End Company found allowing London stores to open for 8 hours instead of 6 would create around 3,000 jobs and over £200 million a year in additional sales.

Longer hours were trialled in the capital during the 2012 Olympics, and were deemed a success by the Government.

Mr Osborne believes the success of 24-hour online shopping shows a growing demand from consumers for longer Sunday trading hours in high streets and retail parks.

He also believes the longer opening times could help high street stores claw back some ground against online retail.

Mr Osborne pointed to success in international cities like Paris and New York, where Sunday trading restrictions have either been relaxed or removed.

Rob Williams, head of retail agency and development at Strutt & Parker said: “Extended Sunday opening hours will be good news for the destination shopping centres with a high provision of food and leisure operators.

"Most people in the UK still work a traditional Monday to Friday week and will be keen to take advantage of the later opening times of cinemas and restaurants within shopping centres and this increased footfall will undoubtedly have a knock on effect for traditional retailers.

"For the leading centres increased footfall will lead to higher sales turnover which then has potential for stronger rental growth. However in more secondary centres there is an argument that consumers have a finite amount of money to be spend and rather than seeing an increases in sales and footfall, it will just be reallocated throughout the week.”

Small stores unhappy

The 1994 Sunday Trading Act introduced rules allowing smaller shops to open all day, but stopped any store larger than 280 square metres from opening more than 6 hours between 10am and 6pm.

The move to relax these restrictions has been condemned by the Association of Convenience Stores.

It believes small shops would be forced out of business. During the Olympic trial, convenience store sales fell by 0.4%.

Mr Osborne acknowledged the rules wouldn’t suit every area. He would devolve the powers to mayors and local authorities.

But ACS chief executive James Lowman says the devolution of powers will simply confuse businesses and shoppers.

He says the restrictions offer a “crucial advantage” for convenience stores over larger retailers.