During the recession, high street vacancy rates soared as even established retailers struggled to survive. This situation was partially mitigated by a wave of betting shops, pawnbrokers and charity shops occupying empty properties. But their expansion did not please everyone.
Now, retailers in Lytham, Lancashire have called on their local MP to address the issue by setting a cap on the number of charity shops allowed to operate on the high street. The Lytham Business Partnership believes this is necessary as it claims the high street is losing its retail mix, with the number of charity shops having risen from six to nine since last November alone.
Although the government has already agreed to hold a consultation regarding implementing a law to control the spread of betting shops this summer, the Partnership is presently considering whether to ask for this legislation to be extended in order to include charity shops.
Chairman Andrew Fallow believes that allowing local authorities to set their own quotas for the mix of businesses on the high street would be the best way to ensure all parties concerned can operate in a fair and equal manner.
He says; “Once a charity shop gets in, it’s there to stay – there aren’t many empty shops on our high street and landlords aren’t allowing independent retailers a chance to take them.
“They’d much rather give the space to a charity that will be paying rent for longer than to someone who will retire in 20 years’ time.”
The group’s campaign has gained the support of the Federation of Small Businesses, which also believes that a balance must be struck between charity shops and small retailers on the high street. In addition, the FSB points out that many small business owners find it unfair that charity shops are able to take on units without having to apply for changes in usage class.
Regional chairman for Lancashire and Cumbria at the FSB, Gary Lovatt, says; “When in some areas there are more charity shops than small business retailers, and some of those charity shops are selling new goods, things have clearly gone too far.
“The favourable tax treatment for these shops makes it a very uneven playing field.”
However, the Charity Retail Association does not believe that charity shops play a negative role on the high street. Rather, it insists, most are keen to work with surrounding businesses in order to attract a higher level of footfall to the area as a whole.
A spokesman told Third Sector; “Charity retailers are in many instances working with other businesses to encourage footfall on the high street.
“Closure of charity shops would mean the loss of the paid jobs they provide, as well as volunteering opportunities and environmental benefits for local communities.”
Previous Post
IM Properties sells Quartet of German Sites
