One in three north west retailers at risk of failure
Last updated at 14:56, Wednesday, 23 January 2013
Nearly one-in-three retailers in the north west, including Cumbria, are at risk of failure within the next 12 months.
That is the view of R3, the trade body for insolvency professionals.
Its figures suggest that almost 3,500 retail businesses – or 30 per cent – are on the brink.
Jeremy Oddie, regional chair of R3 and head of recoveries at accountant Mitchell Charlesworth, said that January was a high-risk time for retailers.
He added: “R3’s figures show that – over the past two years – nearly half of all jobs and stores have been saved during major retail failures, thanks to the UK’s flexible insolvency regime. However, we do need to be honest and realistic in establishing a tipping point where resuscitation is impossible.”
Recent failures have included Comet, Jessops, HMV and Blockbuster.
Mr Oddie believes that one-in-10 retail businesses are “zombie businesses”, kept afloat only by the forbearance of their banks and low interest rates.
He said: “The big retailers we have recently seen enter administration were known to have been in a precarious situation for some time.
“The high street is having to re-define itself, and many chains have been shedding stores to create a more workable business model.
“This process could reach a natural conclusion at some point in the year ahead, although we expect a few more major insolvencies in the meantime.”
First published at 14:54, Wednesday, 23 January 2013
Published by http://www.newsandstar.co.uk
- Pupils hit a high note at South Cumbria Musical Festival
- Concerns over increase in violence at Cumbria prison
- Electric barriers result in outrage among Haverigg residents
- Otter found in South Cumbria puddle is now doing swimmingly
- Barrow sports club’s future secured by a new long-term lease
- Askam dad killed by mix of drugs and alcohol
- Record day for young musicians at Ulverston contest
- Race against time to Cumbria and Lancashire save maternity units
- Staff moved to tears by damning report into Barrow maternity failures
- Supermarket approved for Ulverston
- Wilson hails Barrow AFC squad strength
- Barrow AFC boss facing selection headaches
- The Weekly Meeks: Bradford clash will be no walk in the Park
- Walney Cents' Finch back for top-of-the-table clash
- Hawcoat Park aim to produce another big home display
- Kirkby look to steer cup treble chasers off course
- Barrow AFC keeper seeks new contract
- Fylde striker and ex-Barrow AFC player warns - title race not over yet
- Aussie ace out to impress for Barrow Raiders
- Top GB prospect backs Barrow fighter
Visit our websites for...
Great Daffodil appeal 2015
Homes and gardens 21
Power to switch
Walk to remember
Choosing a secondary school
To save our contact details direct to your smartphone simply scan this QR code
|Evening Mail Going Out|