THE NUMBER of retailers at risk of going under shot up for the second consecutive month in March, according to insolvency firm RSM Tenon.
The number of companies deemed to be at high risk of insolvency jumped by four per cent in March, compared to the month before, and jumped two per cent compared to this time last year.
The development comes following the worst fall in sales since records began in 1996, with a drop of 1.9 per cent in March compared to the same period last year, findings by the British Retail Consortium show.
More than 8,000 retailers were shown to be in danger of going under last month, according to RSM Tenon’s ‘traffic light report’.
Head of recovery Carl Jackson said: “We may technically be out of recession, but it is clear that the high street is struggling at the moment. Retailers are suffering as their costs soar with increased fuel and manufacturing costs and shoppers remain thrifty with their purchases. It appears people just aren’t spending unless they have to – and who can blame them as they struggle with the cost of increased tax burdens and rising inflation.”