The British Independent Retailers Association (Bira) says independent retailers are not yet getting the help they need from the “well-intended” government initiatives in order to help them through the coronavirus pandemic.
Following a survey of its members (which includes gift retailers) the Association is particularly critical of the lack of support from high street banks.
“It’s clear that the well-intended Government initiatives are not reaching the retailers that need the support,” stated Bira’s ceo Andrew Goodacre. “I do not understand why it is taking so long to award the grants. The self-employed income protection scheme will only help a quarter of retailers.”
He continued: “The high street banks are simply not willing to help and should hang their heads in shame. Independent retailers have no money coming in, have had low margins and low profits for many years and need more support than is currently available– otherwise many of these businesses will not re-open when the situation returns back to normal.”
Bira asked its members three key questions about the support they’ve received following the coronavirus outbreak. The results show a large majority are getting little or no help.
Almost two thirds (64.5%) said they would not benefit from the self-employed income protection, set out by the government on March 26 because they pay themselves in dividends, while others admitted they were confused over how it was claimed.
Bira also asked members whether they’d received a Business Support Grant from their local authority to which 91% said they had not. Bira has already been lobbying for local authorities to be more forthcoming about the support grants as the majority of members have said they have received no communication.
The Association says the actions of high street banks is “shameful” as only 1% of its members who have applied for a business interruption loan have been successful so far. Almost 20% of members surveyed have approached their lender for help with many still waiting for a response.
For Bira’s coronavirus hub to help members and the wider independent retail community, visit www.bira.co.uk
Top: Bira’s headquarters.
