'The longer this goes on the harder it's going to be on businesses' Retail chief says NI suffering badly
The impact of the Covid lockdown on crisis-hit businesses across Northern Ireland has been laid bare today – with a warning that they simply can’t take much more.
NI Retail Consortium director Aodhan Connolly says already trade is suffering badly.
“I think the economic picture at the minute is quite bleak for all of Northern Ireland and across industries,” he told Downtown Radio & Cool FM.
“I think the longer that this goes on the harder it is for people to come out of it and trade in the same way that they were doing.”
He says it's imperative plans are in place to ensure
retail resumes as quickly as possible but he says safety still needs to be the Number 1 priority.
“I think that we need to be making plans to reopen when it is safe to do so,” he said
“Health is always going to be our first priority but we need to be looking after the economy too.
“We need to be thinking about what sectors can we open in a safe manger and get that money flowing back through the economy again.”
Mr Connolly also warned that business would also continue to struggle if they were not given some lee-way on rates.
“We need to get that three-month business rates break extended to a 12 month one,” he added.
“Business rates after staffing costs are our biggest cost in the retail industry and we need to have the same support they have in Great Britain break to allow us to look after cash flow, to allow us to look after staff and to allow us to be able to reopen when this is all over.”
He also revealed that our shopping habits here have changed in the lockdown period.
“How people have shopped have changed dramatically – people who’ve never shopped online are doing this now and we are seeing a real growth in the local convenience market as people don’t want to go to out-of-town shopping centres.
“Even those shops that are still open are not seeing people spending in the way that they were and when they are spending, for example on groceries they are buying cheaper staples- they’re buying cheaper brands.
“So instead of your luxury coffee, they are buying home brand coffees and they are buying cheaper proteins so instead of steak they’re buying mince so that means there is less profit margin as well”