There are many reasons why our high streets and particularly independent shops are struggling to survive in the current economic climate;
Changing shopping patterns:
People are increasingly choosing to shop in out of town retail parks, supermarkets and online, citing convenience and price as reasons not to shop locally. In the US, Amazon.com is even actively encouraging people to browse in shops but buy online – see here - which has horrified local traders.
High cost of rent:
Recent reports have wanted that the current rate of rental inflation could make living in the capital and neighbouring boroughs ‘unaffordable’ for many tenants, forcing them to share.
The tenants information service found that rents in London have risen by an astonishing 23 per cent since October 2009, standing at £1,158 per month for every home. An average tenant now pays £775 per month, 13 per cent up from October 2009. Over the same period, average incomes have risen just 6 per cent.
It's the same for commercial property too, with landlords not cutting their tenants any slack.
Business rates:
Business rates are collected by central government, so the local Council has no say in this. However, there’s a Localism Bill that’s recently been passed giving Councils more discretion over business rate relief
There’s also news about Government plans giving local Councils more say over business rates:
Previous administrations making parking more difficult:
In the past, people have been discouraged to park in local high streets, however the current administration has made efforts to make parking easier, giving locals using the RichmondCard free parking for 30 minutes and increasing the number of parking spaces on high streets – see
here. And the infamous spy cars have been removed.
So what’s the future?
There will be suggestions on how what can be done about all this from the Mary Portas review due out Tuesday 13th December –
read on
The outlook for Richmond is generally more positive. New statistics published by respected think tank the Institute for Public Policy Research (IPPR) shows Richmond upon Thames is among the top 10 boroughs most likely to recover quickly from the effects of the recession.
Richmond Council recently launched its Uplift strategy to improve high streets in Whitton and four other areas and is removing yellow lines in six town centres to make it easier for shoppers to park.
More than 27,000 residents now have a RichmondCard which entitles them to 30 minutes free parking in any on street parking space or car park controlled by the Council. The Council has also employed a Business and Retail Champion to create stronger links between shops and firms and the authority, and to encourage new businesses to set up or relocate to the borough.
In the near future, the Council will begin work on improving Twickenham town centre. Policies in many areas of the Council work have been or are in the process of being adapted to make the authority more business-friendly and less bureaucratic. All of this is intended to create a reputation for the borough as a good place to do business.
Are you a local resident, business owner or tenant? What do you see as the future for local businesses in Richmond upon Thames?