The Business Exchange Swindon & Wiltshire Edition 39: Oct/Nov 2018 | Page 4

BUSINESS NEWS

HIGH STREETS - CRISIS OR OPPORTUNITY ?

Almost weekly we hear stories of retail woes and there ’ s an increasing sense our High Streets are on the skids . There ’ s a feeling of retail tumbleweed blowing freely along some Wiltshire streets .
Recently John Lewis announced a 99 per cent drop in profits for the first half of the year blaming its promise to match prices among other factors . House of Fraser has gone into administration and has been taken over by another brand yet its future remains uncertain – indeed in Swindon it ’ s given notice on its large town centre space . Other brands have been struggling too – particularly those seen as an ‘ out-dated ’ department story style such as Debenhams and M & S . Back in March we saw the end of Toys R Us and Maplins with New Look having major issues .
Experts have claimed the retail sector on the High Street is now at the centre of a ‘ perfect storm ’ of pressures built up over time . A BBC news report back in March listed six reasons for this ‘ storm ’.
• Squeezed income – the majority have less disposable income .
• Changing tastes – an inability to move with the times has made some brands less relevant .
• Too many shops .
• Shift to online shopping – often seen as the biggest factor . It ’ s more convenient and often cheaper .
• Rising overheads – issues like business rates and the need to pay the National Living Wage have both been mentioned .
• Too much debt – brands surviving on debt which then becomes due making cash flow critical .
It ’ s even been suggested there could be a so-called ‘ Amazon ’ tax – or online sales tax to create a more level playing field between physical and digital retail . Yet we ’ ve also seen the physical , limited , arrival of Amazon on the High Street too .
Quoted in Property Week recently , Paul Souber , head of London retail for Colliers International said a major factor is planning flexibility where local authorities needing to face up to the fact retail is redundant in some areas and these areas need to be
regenerated . He said what the High Street needs is ‘ busy shops and fewer of them ’.
Other commercial property experts have called for action such as the total abolition of business rates and town centre parking to be free of charge . However in Wiltshire , we ’ ve seen parking charges rise in places even in the face of local opposition .
Local authorities are under massive financial pressure and it ’ s difficult to see them putting High Street regeneration at the heart of their decision-making – or reducing parking fees when their financial needs are immediate and severe .
We ’ ve asked Wiltshire voices to consider two weighty questions :
1 . What are the issues in the High Street ? In general and in particular ?
2 . What are three possible activities which could help the High Street ?
Kerry Gover , runs independent retail business PinkBox both online and has a shop in Devizes . She said :
“ I regularly ask my customers about shopping here . The most common response is around the ease and cost of parking . There is so much competition for footfall and some of the larger towns like Trowbridge and Melksham are more attractive to people looking for cheap parking and a good range of shops . The recent traffic issues around Devizes with various roadworks have made ours an even less attractive destination with many people doing their best to avoid it altogether . Many Devizes residents NEVER shop in Devizes !
“ To address these issues , it ’ s all about experience . The internet is fast , efficient and easy but the High Street can offer a genuinely personal service . I have customers who shop with me because they prefer to deal with a person and they appreciate my staff are so knowledgeable about our range .
“ For Devizes we need a well thought out strategy offering residents a reason to
pop into town not just for large organised events like the Devizes Carnival ( which still draws 1000s into town ). We need a parking charge strategy on a par with other Wiltshire towns .”
Kathryn Crosweller , manager of the Chippenham BID , shared her views too .
She said : “ Chippenham is in a very strong position compared to many high streets . We have an incredibly low vacancy rate ( 3 % compared to the national average of 9 % in April 2017 ) and a good range of national , regional and independent businesses plus some global companies like Alliance Pharmaceutical who are based here .
“ We have a strong café culture in Chippenham , and lots of fantastic places to eat to meet up with friends and relax with colleagues as well as a lovely town to potter around the shops in . The biggest issues facing Chippenham town centre is the cost of parking and shortage of parking spaces .
“ I would say that the top solution for Chippenham would be to create more car parking spaces . This would ease the pressure on the car parks and hopefully mean a reduction in the cost of parking .
“ On a wider scale I think there needs to be a legislative shift to support businesses on the high street by looking at their biggest competitors : out of town retail parks with the big brands and free parking and , of course , the internet .
“ Events also play a massive part in keeping the high street alive , as they offer people the chance to engage with town centres in a different way , enabling them to change their perceptions of and relationship with the high street . To love your town because you have a great time in it means you ’ re on the way to supporting by spending your money and keeping a town centre alive .”
In my research the good examples of high streets flagged up locally included Cirencester , Gloucester Docks , Bath and the
kind of energy created by big events such as Badminton and Womad .
In Swindon , one example worth considering is Metro Bank – brand which is growing with 58 stores so far and an intention to grow to 100 stores by 2020 . The bank is opening in Bristol in late September with a Bath bank opening in October . Cardiff is likely to get its first Metro Bank in 2019 .
Their mission is stated as moving away from the impersonal , distant service now offered by other High Street banks . Excellent personal service , open seven days a week 8am to 8pm , free meeting rooms which anyone in the community can use , free coin counting and free teas and coffees .
If you look hard enough there are some UK initiatives to share good news and innovation on the High Street – and it is possible lessons can be learned from these examples .
In 2014 the Great British High Street awards were introduced and finalists for 2018 are currently being judged ( at time of writing ). Among the 2016 winners ( the awards didn ’ t run last year ) were :
City Location – The Cathedral Quarter , Derby Large Market Town – Bridgnorth Small Market Town – Hebden Bridge Rising Star – Stockton .
Wiltshire didn ’ t feature at all – perhaps in 2019 our county will be braver and will celebrate both those larger and smaller retail businesses which are weathering that ‘ storm ’? Or as a minimum , shouldn ’ t we be learning from those who are doing something different where ever they may be in the UK ?

BREAKING THE MOULD www . optps . co . uk

4 THE BUSINESS EXCHANGE 2018