Brexit – for now – does not help British retail. Closure set at + 20%. 26,000 laid offs

Brexit effect will be likely to sink in the coming months. The CRR, the Centre for Retail Research highlighted an increase of 20% concerning the number of companies that filed bankruptcy in 2016, and layoffs totalled 26,000 units. This figure contrasted sharply with the 6,800 layoffs in 2015. Thirty medium and large enterprises and 1,504 small size stores have closed down (double the previous year). According to CRR, to suffer more this crisis has been the fashion. The analysis focuses on  “illustrious” cases: from BHS (11,000 employees laid off ) to American Apparel, Banana Republic, The Ness Chain, Store Twenty One, Ben Sherman, Brantano, Austin Reed, Debenhams Retail, Atterley, Blue. Also department store Austins of Derry, Beales, McEwan of Perth closed down recently. However, CRR report is, in some respect, reassuring.  It fared worse during the terrible 2008 financial crisis when 54 companies failed to see signs of the crisis, and there were 5,793 stores closures with a resulting loss of 74,000 jobs.

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