Britain's High Streets Reach 'Crisis Point'

Online Sales Drive Festive Fever At Next

More than 50% of total consumer spend is now off British high streets for the first time in history.

The shock statistic is revealed with the publication of a report compiled by Mary Portas, star of the BBC's Mary Queen of Shops programme.

The retail expert has come up with a plan to rejuvenate Britain's ailing high streets, some of which she claims are in crisis.

Her independent review, carried out at the request of Prime Minister David Cameron, also maintains that town centre vacancy rates have doubled over the past two years.

"I believe that our high streets have reached a crisis point. Unless urgent action is taken, much of Britain will lose, irretrievably, something that is fundamental to our society, and which has real social and economic worth to our communities," she said.

"I would like to state from the start that this report is not about pointing fingers of blame.

"While I do believe that there are many compelling instances where out-of-town retail has drained the traffic and shopping trade from our town centres, it would be naive and far too easy simply to think that they are to blame for the decline of our high streets.

"The fact is that the major supermarkets and malls have delivered highly convenient, needs-based retailing, which serves today's consumers well.

"Sadly, the high streets didn't adapt as quickly or as effectively. Now they need to."

Ms Portas has called for change and recommends licensing rules on high street stalls be relaxed and that a national market day be introduced.

She also wants free parking in certain areas, some form of high street management system to form coherent policies, as well as a review of business rates and shop rents.

Tom Ironside from the British Retail Consortium agrees that there is much to be done.

"There are some long-standing challenges facing the high street locations which include planning, transport, safety and security and also the cost of doing business in high street locations as well," he said.

"All of those need to be tackled if we're to get to a situation where our towns and city centres can thrive.

"Certainly where new business rates come into play we think that there's a real role for a better business rates regime in supporting new businesses as they come forward.

"But business rates need to be cheaper for everyone. At the moment they go up very quickly year-on-year and we want to see that take place in a much more affordable way."

In the Worcestershire market town of Pershore rates for small businesses have been frozen.

Those small businesses with a rateable value of £6,000 and under will pay no business rates at all until March 2013.

High street butcher Dave Goodyear said: "It has been a lifeline. Without that freeze, a lot of people would have sunk and gone under. But this is just what the independent trade needs."

Despite the pressures of out of town shopping centres, supermarkets and the internet, Pershore is now fairing well.

Ms Portas added: "The phenomenal growth of online retailing, the rise of shopping by mobile, the speed and sophistication of the major national and international retailers, the epic and immersive experiences offered by today's new breed of shopping mall, combined with a crippling recession, have all conspired to change today's retail landscape.

"New expectations have been created in terms of value, service, entertainment and experience against which the average high street has, in many cases, failed to deliver.

"The only hope our high streets have of surviving is to recognise what has happened and to provide something new."