Changes on the High Street

denphone · 05-01-2018, 18:58

The chain has written to landlords asking for rent reductions amid growing fears of retail casualties, Sky News learns.

Quote:

House of Fraser (HoF), one of the UK's biggest department store chains, is seeking to slash its rent bill, stoking fears of further casualties on an increasingly embattled high street.

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The state of HoF's finances has been the subject of speculation for months, and was not aided by Moody's, the ratings agency, which described the chain as "a very high credit risk" last month.

https://news.sky.com/story/house-of-...tters-11196770

Osem · 05-01-2018, 19:14

I'm surprised they've lasted this long. They seem to be stuck in the past sadly. Let's hope they survive.

heero_yuy · 05-01-2018, 19:23

They join Debenhams and the defunct BHS in not restructuring deep or fast enough to meet the changed shopping environment.

M&S must also be considered as vulnerable.

nomadking · 05-01-2018, 20:46

Where there is more competition in one form or another, it is inevitable that some firms will go to the wall. The most likely being ones that have allowed their costs to rise before the increased competition came along. They do not have the capacity to reduce their costs. Their options for "austerity" are limited. No amount of restructuring can change any of that.

Matthew · 05-01-2018, 21:02

Not surprised to be honest. Local store often has vast areas empty, the shopping centre will be stinging them for the size of unit they have. Only go in to the cafe these days and that is going down hill, one thing I do miss is BHS for a Saturday morning brekkie in town.

Lets hope they are not the next victim.

**Maggy** · 05-01-2018, 23:21

Online shopping probably hasn't helped.The high street stores that are surviving are the ones who have an online presence.

1andrew1 · 05-01-2018, 23:26

House of Fraser will probably be the first of many seeking rent reductions and closing stores.

Three main reasons though each company has unique circumstances.
1) Growth of online shopping eg Asos, Amazon, Very.
2) Increase in costs for retailers following devaluation of the Pound, business rates hike in London and the south plus the difficulty in passing these increased costs on for discretionary items like fashion.
3) Squeeze on consumers' disposable income through increase in costs like food, petrol and rail fares but no uplifts in salaries.

Mr K · 05-01-2018, 23:30

So what else is going to go in town centres ? There's only so much coffee, and mobile phones we can buy...

1andrew1 · 05-01-2018, 23:48

Quote:

Originally Posted by Mr K

So what else is going to go in town centres ? There's only so much coffee, and mobile phones we can buy...

Mobile phone shops are in decline. Coffee still increasing, ditto budget hotels.
Most popular new shops are vaping shops.
Replacement to shops seem to be the above plus housing and entertainment. Any others??

denphone · 06-01-2018, 06:01

Quote:

Originally Posted by Maggy J

Online shopping probably hasn't helped.The high street stores that are surviving are the ones who have an online presence.

And for many they are too expensive by half.

---------- Post added at 04:58 ---------- Previous post was at 04:56 ----------

Quote:

Originally Posted by Mr K

So what else is going to go in town centres ? There's only so much coffee, and mobile phones we can buy...

Sadly whether one likes it or not Town Centres will evolve and change with the times as to whether one sees it as progress well the individual has to decide on that for themselves.

---------- Post added at 05:01 ---------- Previous post was at 04:58 ----------

Quote:

Originally Posted by 1andrew1

Mobile phone shops are in decline. Coffee still increasing, ditto budget hotels.
Most popular new shops are vaping shops.
Replacement to shops seem to be the above plus housing and entertainment. Any others??

Niche type market shops.

Taf · 06-01-2018, 12:41

Those that they are renting from demand guaranteed high returns. This is causing many other shops to go to the wall too. Add on the big hike in Business Rates demanded by councils, and the decline of the High Street is assured.

It's "craft" beer bars that are replacing many here. Glorified homebrew at high prices.

**Mick** · 06-01-2018, 12:51

Cannot ever say I have ever shopped there.

I have to say, I’m pleasantly surprised. This threads replies are in double digits and not a sign of the ‘B’ word, being thrown as a cause...

denphone · 06-01-2018, 13:08

Quote:

Originally Posted by Mick

Cannot ever say I have ever shopped there.

Once you see some of the hefty prices there your wallet might start to do a runner.

Mr K · 06-01-2018, 13:11

Even Debenhams is a load of crap. See the the sale signs, walk in, and always walk out with nothing. Department stores have had their day. Got some good sale deals at Next this year, not somewhere I'd usually go to.

denphone · 06-01-2018, 13:17

Quote:

Originally Posted by Mick

I have to say, I’m pleasantly surprised. This threads replies are in double digits and not a sign of the ‘B’ word, being thrown as a cause...

As we have seen in the last 10 years there have been huge changes to the whole structural bedrock of our High street's due to several factors and obviously the biggest factor has been the rise of internet shopping but that is not the only factor.

This is a interesting report though it might take a bit of time for one to read it.

https://content.historicengland.org....wn_centre.pdf/