SAVE OUR SHOPS
80 chief executives in plea to PM: Get Britain moving or firms will go broke
BRITAIN’S high street giants last night sounded a cry for help – warning the Prime Minister that the fall in people travelling to work has become a ‘social and economic emergency’.
Bosses at some of the UK’s bestknown chains said it was ‘absurd and extraordinary’ that more workers have not returned to offices.
A group of 80 chief executives have written to Boris Johnson saying his failure to get workers back poses an ‘existential’ threat to city businesses.
In Scotland, Nicola Sturgeon has outlined a ‘phased’ return for office workers – but critics say she is not going quickly enough to save struggling firms.
The bosses’ letter to Mr Johnson warns that hundreds of thousands of people will lose their jobs if more staff do not commute into ‘ghostly quiet’ cities.
Traders north of the Border have lost £2.1billion in the past five months and tourism has all but collapsed. Across the UK, the pandemic has led to the loss of 730,000 jobs. But only one in seven UK firms expects to bring the majority of their workforces back into the office by the end of this month.
Scotland’s 20,000 civil servants are set to be kept away from the office until next year.
Officials at the Bank of England yesterday told MPs a ‘sharp return’ to work was impossible because of ‘dense office environments’.
Julian Metcalfe, founder of food chain Itsu and Pret a Manger, said: ‘It’s absurd and extraordinary that businesses aren’t bringing people back into the office – the risk has been blown out of all proportion.
‘The businesses that have gone under so far are only the tip of the iceberg. Many more will close down for good and many will lose their livelihoods, unless we get back to work properly.
‘Ministers must now clearly say it is safe to come back to cities.’
Kate Nicholls, chief executive of UK Hospitality, which represents 700 firms, said: ‘Office workers and tourists have not returned, so hospitality businesses are taking a huge hit.’
Tom Ironside, of the British Retail Consortium, which represents 5,000 businesses employing 1.5million staff, said: ‘Without the multitude of purchases usually made by customers going to and from work, we will see continued store closures and job losses.’ Gerry Ford, the founder and chief executive of Caffè Nero, said: ‘We need a renewed and extended government push in the autumn and beyond to encourage people back to these urban locations.’
Business leaders in Scotland have raised concerns about ‘ghost towns’ if firms such as cafes and takeaway outlets, which survive on office staff footfall, go under.
Scottish Chambers of Commerce chief executive Dr Liz Cameron said there had been a ‘constructive exchange of views’ with the Scottish Government on how to ‘ensure the sustainability of our city and town centres and the fundamental economic and social role they play in our society’. The First Minister has said working from home is to remain the ‘default’ position for many.
Some Scottish Government and quango staff have been told by bosses they are not expected to return to office working until March of next year.
A similar approach is likely to be taken by other parts of the public sector, which employs more than half a million people in Scotland.
Among the UK high street victims, WH Smith has shed 1,500 jobs, Boots 4,000 and Debenhams 6,500. John Lewis is cutting 1,300 and Marks & Spencer 7,000.
The Department of Business was contacted for comment.