The current recession might currently be squeezing retail stores, but the High Street won’t only see large national chains survive, according to a new report.
The KPMG/ Synovate Retail Think Tank revealed that common expectations of retail becoming dominated by a small number of very large retailers are off the mark, with niche retailers still playing an important role on the High Street.
The Retail Think Tank (RTT) said: “Contrary to popular belief, we do not predict that the UK’s shopping centres and High Streets will become dominated by a small group of very large retailers in the future.
“Yes, trading conditions are exceptionally tough at the moment, with a number of big name insolvencies both before and after Christmas, and this undoubtedly has an impact in terms of competition. Having examined the effects of downturns in the 1970s and 1990s we also recognise that recessions have traditionally acted as a catalyst for greater market concentration.
“However, the RTT still firmly believes there will always be constraints which prevent the sector becoming dominated by a very small group of big companies.”