More British retailers becoming bankrupt: Deloitte
25 Jul 2011
More British retailers becoming bankrupt: Deloitte
The number of British retailers falling into administration rose 8 per cent in the second quarter on a year ago basis and will continue to rise, according to research by corporate advisor Deloitte.
The number of retail firms appointing administrators rose to 43 in the three months to June from 40 in the same period last year. This is over and above the 60 that failed in the first quarter.
While the increase is relatively small, what is worrisome is that it included big names such as wine chain Oddbins, home improvements group Focus DIY, fashion chain Jane Norman, and home furniture designer Habitat, Deloitte said.
"The retail sector is going through a significant period of change with many companies buckling under the pressure of weakened consumer confidence and a sluggish economy," Lee Manning of Deloitte said.
"While the overall increase in the number of retail failures this quarter is relatively small, we have seen a significant number of household names falling into administration, including Oddbins, Moben, Dolphin, Focus DIY, Habitat and Jane Norman.
