The Daily Telegraph

Unexpected item in the bagging area for corner shops

- By Katie Morley CONSUMER AFFAIRS EDITOR

POPPING into the corner shop for a pint of milk and a chat with the shopkeeper has for years formed an integral part of people’s daily routines.

But the rise of payments technology could soon make it a thing of the past, a report warned yesterday.

According to the Associatio­n of Convenienc­e Stores (ACS), which represents corner shops, thousands are starting to sack staff and replace their traditiona­l personal contact with self-service checkouts. Shopkeeper­s are blaming the move on their increasing overheads, which are forcing them to replace staff with automatic till systems, they say.

Industry figures for March to May show one in five convenienc­e retailers invested in upgrading their stores, with a total of £40million spent. One in four stores that made such investment­s have made improvemen­ts to till systems with one in five cutting staff hours, according to research carried out by ACS. The decision to cut staff hours coincides with the living wage increasing to £7.50 an hour in April. It also follows the lead set by supermarke­t chains, where self-service tills are now commonplac­e and there is often no necessity to speak to another human being during a shopping trip.

It comes after a Daily Telegraph report revealed last week that Visa is planning to strike cashless agreements with shops and restaurant­s that will see them offered lump sums worth thousands of pounds and free contactles­s technology upgrades. In return they must agree to ban customers from paying with cash and ensure that items are bought using a debit or credit card or digital payment like Apple Pay.

But consumer groups warned Visa’s war on cash threatened to disadvanta­ge elderly and vulnerable consumers who still rely on cash and cheques.

It is also thought that self-service tills could negatively impact the lives of elderly and lonely people, as it would deprive them of what may be the only human interactio­n they get all day.

James Lowman, the ACS chief executive, said: “Many retailers now have to strike a difficult balance between using technology in their business to make their stores more efficient, and retaining the personal touch that the sector has been traditiona­lly known for.

“These decisions will have to be made on an individual basis across stores, but with employment costs continuing to rise we expect more stores to look for efficienci­es like these in the near future.”

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