Seven retailers collapsing every day, finds PwC
705 retailers went into insolvency in first quarter
Seven retail businesses collapse on a single working day and are among 705 to
go into insolvency between January and March this year, up 60% from the same
quarter a year earlier, according to PricewaterhouseCoopers.
Retailers with inappropriate capital structures and poor value propositions
will be weeded out one by one, PwC told The Independent.
PwC says the number of insolvencies could well have peaked in the first
quarter, but it was expecting more retailers to fail over the coming months.
The fallout could spread to include well-run retailers whose sales volumes
plunge amid the recession.