By using Apprenticeforums services you agree to our Cookies Use and Data Transfer outside the EU.
We and our partners operate globally and use cookies, including for analytics, personalisation, ads and Newsletters.

  • Join our UK Small business Forum

    Helping business owners with every day advice, tips and discussions with likeminded business owners. Become apart of a community surrounded by level headed business folk from around the UK


    Join us!

Will the economic down turn create ghost towns...

Power Lunch Club

Power Lunch Club

New Member
We are living in some pretty amazing rough times right now. Where I live in a part of Edinburgh, Leith is it's own little community. But recently after the closure of several big stores in the area, it is noticably quieter in terms of shoppers. a) People are tightening their belts, b) Those who are spending are going to different areas.

So are we looking at ghost town appearing as a result of the situation?
 
Gordon N

Gordon N

New Member
It's happening up here as well Gordon!

From what I have been told Elgin high street has one of the highest business rates levels in Scotland for some reason (probably jusy Local Council greed!). Over the last few months we have lost around 4 or 5 retailers from the high street alone and more in the surrounding streets, the most noticable being Woolies which had been on the high street for over 80 years!

For some reason the council keep granting planning for out of town centre retail parks and then complaining that the high street is loosing trade?!? A law unto themselves!
 
We are living in some pretty amazing rough times right now. Where I live in a part of Edinburgh, Leith is it's own little community. But recently after the closure of several big stores in the area, it is noticably quieter in terms of shoppers. a) People are tightening their belts, b) Those who are spending are going to different areas.

So are we looking at ghost town appearing as a result of the situation?

Ghost towns are nothing new. Parts of Lanarkshire for instance never really recovered from Thatcher's rout of the 1980's. And there's a near-unspoken grey band of hopelessness that runs much of length of the M8 and though swathes of Ayrshire. It's not a unique band either. We've come through a relatively and inevitably short boom. I say relatively short because in embraces much, if not all of the entire working and economic lives of many here today. And I say inevitable because it was a boom of no substance; built essentially on selling off the value in essential infrastructures and bleeding off the 'worth' in essential works.

The family silver is gone. As a nation we no longer own the schools the hospitals nor even aspects of our policing and civil defence. Nor the means of watering or powering our homes nor dealing with our waste. Our manufacturing industries are almost non-existent; having been asset stripped and hived off to whoever. Even our road and transport systems are in chaos because they no longer exist primarily to move goods from point 'A' to point 'B' but to divert resources into the pockets of the few.

Those fact alone mean that as a society we are, in wealth, set back 150 years or more. Children ARE dying on our streets, the sick are going untreated, the criminal unfettered and the ordinary working man is effectively enslaved to the greedy, the feckless and the worthless.

Our high streets are dying because of decades of greed on the part of politicians. Be it in the form of using parking. access or and public transport as a cash cow and making it increasingly expensive and impractical to shop there. Be it screwing the small retail outlets for every bare penny 'till they're driven out of business. Or be it by selling the heart and soul of our communities to the purveyors of the bland worthless tat that fills every dreary cloned 'designer outlet' throughout the land...

Wealth is ONLY created when people do something of worth. When they create something or harvest something or facilitate something that makes such creation possible. And while there is merit some of the time for embracing the economies of scale there is more in realising the strength of diversity.

Simply 'shuffling' money from point a to point b and 'tapping off' a little for yourself isn't creating anything; and certainly isn't creating wealth. At least no more than holding a gun to someone's head is. Holding individuals and communities to ransom isn't creating wealth either.....

We need to get back to making things. To providing REAL services that actually achieve something instead of figuring more perverse ways of extracting 'something for nothing'. We need to end the waste and pointlessness of chasing vacuous statistics. And loose each and every so-called 'manager' who does so by rote and doesn't understand the REALITY of the process they're managing.

And most of all we need to say NO to the greedy, dishonest, lying worthless wasters that have charge of the reigns at the moment. Otherwise it won't be ghost towns we have to worry about. But towns laid waste for generations to come and a society so fractured it will make the Orwellian nightmare seem like paradise.

The sooner we really are a nation of shopkeepers the better!
 
D

davidc

New Member
Being one of the older members (42) possibly, I can remember when each town had unique independant shops. Now when I am back in the UK, I find it worrying that every high street has pretty well the same shops. I think now might just be the start of the cycle back. Every day another high street chain goes to the wall. Hopefully a few imaginative people out there will see some gaps in the market and go for it.
 
Gordon N

Gordon N

New Member
Hopefully a few imaginative people out there will see some gaps in the market and go for it.

That is what we really need, but as Matt put across it is near impossible for new starts to weather the costs of setting up and maintaining a high street presence until such times as the government/councils sort their lives out.

Sad but true in my opinion.
 
D

davidc

New Member
I think that small firms react far quicker to market forces, and with low overhead are better positioned to weather a storm like this. I know it is a great deal more difficult to raise finance now, but it is not impossible. Large companies are finding it far more difficult due to the large sums involved, and greater risk.
One of my friends works for a large accountancy firm, and he is stretched to the limit at the moment trying to keep several large and well known firms afloat.
This situation is totally different from previous bad times, but the whole world has not come to a standstill.
I also think that this forum is excellent for people to share experiences etc, and your power lunch club are so important especially for new business people to get the help they need. I have built up a contact base over 20 years the hard way, and I wish that these resources had been available then.
 
M

michael@theiba.co.uk

New Member
I was discussing this with a client who owns an interior design business recently. While he has a relatively small outlet on the high street, his business is booming as some of his traditional big outlet rivals (eg FADS) have gone to the wall recently and the public dont trust those that remain with cash deposits etc.

So perhaps we may see a trend towards the traditional smaller shops in the high streets with the retail parks set to become wastelands, rather than towns becoming ghost towns?

I fail to sympathise with many of the large companies currently struggling - for years they have wasted away the boomtime revenues either through huge bonuses/dividends or to fund such rapid and geographical expansion that could never be sustained in the longer term. Corporate prudence disappeared out the window many years ago.

As for the governments, and I unclude them all over the last 30 years here - what on earth did they do with all money realised from the sale of the nations silverware (although a fair bit was gold!). Its hard to see when all the new schools/hospitals are privately funded, roads are full of potholes etc etc

If every business today acted like the governments of today and the past (spend, spend, spend) then we would all be bust pretty soon. Yet that is exactly what we are being encouraged to do. So what will everyone do when the taxes rise, as they surely must in the not too distant future? Well just what everyone has done during the boom years - borrow!

What's the betting that when we do see an upturn, it wont be long before we have another downturn?
 
Adventurelife

Adventurelife

New Member
I really do not care what has happened in the past, not because I do not understand what has gone before but because I cannot do anything about it!

I do understand fully where we are and where we are probably going. I see my job and and others who run businesses to stop getting down with all the carp thats going round and get the finger out and get on with it.

We are small businesses that is a fact of life, no one will listen to us so stop wasting a minute of your time thinking about the crap and focus on building your business.

I have lost a 6 figure revenue stream called the banks. However I am up 300% year on year after 24 days of the new year because I refuse to let the doom and gloom get to me. It is bad and it will get worse , get used to it , however, you can still operate and thrive if you get your backside in gear.

However bad it gets, it is not that bad. You just have not traveled enough.

Peter
 
Top