Wait until the price rises start to hit properly next year.
This is going to be brutal.
http://www.theweek.co.uk/brexit/6371...mall-retailers
This is going to be brutal.
http://www.theweek.co.uk/brexit/6371...mall-retailers
Quote:
“The report by insolvency firm Begbies Traynor said 21,802 companies were now having financial problems, with the vast majority, around 21,150, being described as "small and medium sized".
"Significant distress" was diagnosed for any firm subject to a county court judgement – "a sign that they are struggling to pay their bills" – or if credit-scoring systems noted a marked deterioration in working capital or retained profits.
That the number of firms in this position has increased is surprising in one regard as retail sales are surging.
Figures from the Confederation of British Industry this week showed 35 per cent of retailers reported rising sales in late November and early December compared to last year, the best figures for more than a year, while last week, the official government statistics watchdog reported consumer spending rose six per cent in November.
But Begbies said the high street was seeing a bout of deep discounting, while the slump in the pound is increasing the price of imports and squeezing already-tight margins.
Independent retailers face the most significant challenges because they "lack the marketing budgets" of their larger rivals and are "less likely to have used currency hedging to soften the blow of weaker sterling", says the Times.”
“The report by insolvency firm Begbies Traynor said 21,802 companies were now having financial problems, with the vast majority, around 21,150, being described as "small and medium sized".
"Significant distress" was diagnosed for any firm subject to a county court judgement – "a sign that they are struggling to pay their bills" – or if credit-scoring systems noted a marked deterioration in working capital or retained profits.
That the number of firms in this position has increased is surprising in one regard as retail sales are surging.
Figures from the Confederation of British Industry this week showed 35 per cent of retailers reported rising sales in late November and early December compared to last year, the best figures for more than a year, while last week, the official government statistics watchdog reported consumer spending rose six per cent in November.
But Begbies said the high street was seeing a bout of deep discounting, while the slump in the pound is increasing the price of imports and squeezing already-tight margins.
Independent retailers face the most significant challenges because they "lack the marketing budgets" of their larger rivals and are "less likely to have used currency hedging to soften the blow of weaker sterling", says the Times.”
