Retailers face challenging environment as shop vacancy rates rise

Retailers are facing a challenging environment in which vacancy rates are rising in town centres, according to a new study.
Retailers are facing a challenging environment, according to the BRC, Picture: PARetailers are facing a challenging environment, according to the BRC, Picture: PA
Retailers are facing a challenging environment, according to the BRC, Picture: PA

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>Bleak July for region's high streets >Talented retailers in contention for award The national town centre vacancy rate was 10.3 per cent in July, a slight increase on the previous quarter's rate of 10.2 per cent and the highest since January 2015, according to the British Retail Consortium.

Footfall declined by 1.9 per cent in July, compared with the same point last year when it declined by 0.9 per cent. This is the worst decline for July since 2012, the BRC said

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Helen Dickinson OBE, the chief executive of the British Retail Consortium: “Retailers have faced a challenging environment this month, with declines in footfall on high streets and shopping centres. Sluggish sales growth and declining footfall also contributed to the rise in town centre vacancies, which rose to their highest level since January 2015.

"High streets and town centres play an important part in our local communities, and we should be concerned by the rise in empty store fronts.

“If the Government wishes to avoid seeing more empty shops in our town centres then they must act to relieve some of the pressure bearing down on the high street. Currently, retail accounts for 5 per cent of the economy, yet pays 10 per cent of all business costs and 25 per cent of all business taxes. The rising vacancy figures show this is simply not sustainable. We need an immediate freeze in rates, as well as fixing the Transitional Relief, which leads to cornershops in Redcar subsidising banks in central London.”