NEARLY 45,000 UK retailers are showing signs of ‘significant’ financial distress this Christmas, according to a new report.
Begbies Traynor, a business recovery and financial advisory firm based in Portsmouth, revealed that Christmas cheer is in short supply across the struggling retail sector.
The amount of businesses in distress has risen by 22 per cent compared to last December.
Julie Palmer, regional managing partner at Begbies Traynor’s Portsmouth office, said: ‘UK shoppers are savvier than ever and prepared to search online for the best deals, having grown wise to the gimmicks and discounts on offer in store,
‘November’s interest rate decision, rising inflation, falling real wages, reduced credit availability and increasing Brexit uncertainty have combined to put unprecedented strain on household budgets this Christmas season, pushing consumer confidence to an all-time low.
‘Retailers hoping to enjoy one last heyday in the run-up to Christmas are likely to be sorely disappointed.’