Brighton & Hove Business Forum
8-11 Pavilion Buildings, Brighton, BN1 1EE
Tel: 01273 735442
© Brighton & Hove
News - 19 June 2005
|Coming to a high street near you?|
“Retail woes have only just begun” – Ernst & Young
The average family’s fixed living costs have increased by 16% in the past three years and now swallow up more than half of their income leaving less and less to spend in shops and restaurants.
According to a recent report by the accountancy firm the average monthly mortgage payment is £60 more than it was in 2002 and other debt repayments have increased by 17% over the past two years.
This, and a rapid slowdown in house prices inflation which has removed the consumer’s psychological cushion of apparent wealth, resulted in an increase in retail sales of just 0.1% in May.
Tim Sleep – Head of Retail at Ernst & young – predicted that sales would continue to fall by 2 –3 % this year and Richard Ratner of finance house Seymour Pierce said: - “The malaise is unlikely to be just a six or twelve month phenomenon but could last for two to four years”
Read related items on:
Retail, pubs, clubs and restaurants
Ernst & Young