Next is the latest in a long list of retailers expected to instigate job losses to cut costs.

According to the Observer, the retailer is planning a round of job cuts in the new year which will affect support roles rather than store staff. The number of jobs that could be lost is not yet known.

Next chief executive Simon Wolfson has warned that the retailer will face cost increases next year as the weakening pound increases the cost of clothing imports.

As reported in Retail Week Homebase is to shed several hundred jobs in a review of its central resource requirements to “bring its cost base in line with trading conditions.”

Business group CBI has today warned that the recession will be longer and more difficult than first expected. It estimates that unemployment could peak at 2.9 million by 2010. It is currently 1.8 million.