With the mass exodus of retailers from the nation’s high streets remaining steady despite a slight stabilisation of the economy, businesses such as pawn shops, bookmakers and pay day loan companies have become the new staples of many town centres across Britain.
While these may be lowering vacancy rates considerably and thus providing a positive statistic on the generally gloomy high street front, the sheer volume of these types of business have, according to some, saturated the market to the extent that the majority of available prime retail units have now been snapped up.
Morris Greenberg, of property firm Cedar Dean Gilmarc, says that competition between bookmakers for prime property has become so fierce that they are now seeking restaurants, cafes and hot food takeaways in order to fulfil expansion targets.
This is possible thanks to current planning legislation – if a bookmaker secures a property designated an A3 use classification (restaurants and cafes) or an A5 classification (hot takeaways) they can begin trading immediately without reference to the local authority.
Mr Greenberg points out that there is a large incentive for a landlord to rent their property to a bookmaker, and even claims that some have actively encouraged existing tenants to move on.
He explains; “[Bookmakers] are willing to pay the right price for the right shop.
“The stereotypical rule is that they like to be near social housing or council blocks.
“They are such good potential clients that landlords have been contributing to the cost of cash premiums paid to persuade restaurant owners to leave so the bookies can take over – the reward is a long-term deal.”
Britain currently has just under 9,000 bookmakers’ branches despite the fact the Local Government Association believes the market reached “saturation point” two years ago. Campaigners are now searching for ways to limit the spread of large chains such as Coral, Betfred and Ladbrokes, as they believe the location of these stores intentionally targets the poorest members of society.
Yet while public figures such as London Mayor Boris Johnson claim betting shops are a “public menace”, Chairman of the Association of British Bookmakers Neil Goulden insists these chains are a force for good in the commercial property market.
He says; “At a time when one in eight high street shops stand empty, and a further 60,000 are expected to close by 2018, the betting industry remains committed to investing in the nation’s high streets, providing jobs and paying taxes while other major retailers leave.
“Bookmakers go where there is demand and where rents are cheapest.”
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