Future of Town Centres and High Streets

Mark Menzies Excerpts

Tuesday 17th January 2012 Commons Chamber

[Mark Menzies (Fylde) (Con)]

I congratulate my hon. Friend the Member for Nuneaton (Mr Jones) on securing today’s debate and the hon. Member for Hackney South and Shoreditch (Meg Hillier) on her interesting contribution.

Before I entered the House, I spent 15 years working in the retail sector for three of the biggest names on the UK high street. I welcome the Portas review, for it contains many valuable points. It has taken us away from the traditional debate, in which it was said that the demise of the UK high street is down to out-of-town supercentres and supermarkets. The report identifies salient points, and it is a credit to the House that we have focused on them today.

In the time allowed, I do not want to go over ground that other right hon. and hon. Members have gone over—I want to move on to some fresh territory—but I wish to highlight the importance of landlords, particularly for small independent shops. Far too often, people who want to have a go and set up a shop face long-term leases of five or 10 years—added to the cost of rent, shop-fitting and staff, such leases become a deterrent. I appeal to the Minister and landlords: let us encourage flexibility and short-term lets.

In recent years, we have seen the trend of pop-up shops, where people are encouraged to take up a three or six-month lease agreement. Far too often, such shops sell fireworks or Christmas trees. I encourage landlords to be far more imaginative and to give people who want to have a go the opportunity to succeed or fail.

[Meg Hillier]

The hon. Gentleman might be interested to hear that a scheme for young people was set up in a derelict shop in Hoxton street. In order to do that, the property needed a shop front. It is now the Monster Supplies shop, where people can buy jars of snot and eyeballs. It attracts a certain type of visitor—it is very popular at Halloween—but is that a good example of what he is talking about?

[Mark Menzies]

That is a very good example. I never thought that Fylde or Lytham St Annes would have anything to learn from Hackney, but perhaps in this case it does, and I suggest we do so.

When shops are left empty, they are far too often left in an appalling state. As the hon. Member for Vale of Clwyd (Chris Ruane), who represents Rhyl, pointed out, they are left with posters on windows or boarded up. That does not make them good neighbours, so I encourage local authorities to use all the powers at their disposal—we perhaps need additional powers—to force landlords to leave empty properties in a state that makes them good neighbours and not an eyesore for the community.

[David Simpson (Upper Bann) (DUP)]

Does the hon. Gentleman agree that as well as encouraging landlords, we need banks and finance houses to help small businesses? People who want to start small retail businesses cannot provide the security that banks require. We need to alleviate the difficulties with banks to encourage people into entrepreneurship.

[Mark Menzies]

Our friends the banks of course have a role to play, but I wanted to focus on landlords, because, as I am sure the hon. Gentleman agrees, bank support for small businesses has been well covered in previous debates.

One sensitive item—I wish to be as non-controversial as possible—is the role of charity shops. Charity shops take up a disproportionate number of shop units in many high streets. I would not wish to decry the role that charity shops have to play—the income raised by them is important, particularly for small, independent, local charities—but perhaps now is the time to review some of the considerable benefits that are given to them.

Landlords often prefer to sign a lease with Oxfam than to take the risk with an independent retailer. The security of Oxfam versus the uncertainty of a start-up independent can distort the local market. Also, charity shops do not have the bigger costs that many retailers face. The biggest cost for any retailer is the one that walks through the door on two legs—namely, the staff. Charity shops often trade on the generous support that they receive from volunteers. Given that backdrop, I do not think that it would be wrong to put the support that we give to charity shops on to the table for a timely review, to see whether we need to move past that.

It is also worth pointing out that charity shops do not always sell stock that has been donated by members of the public. We often see items for sale such as books that look brand spanking new. They might have dropped out of a major retailer’s chart and, rather than being sent for pulping, they might be sold on at nominal cost or donated to the charity for resale. Oxfam has more shops selling books than Waterstones, and that imbalance needs to be addressed.

I want to mention briefly the importance of carrying out trials. Several Members have offered their high streets as hosts to trials today. I must advise the Minister that, when he picks towns in which to carry out trials, he should remember that no two high streets are the same. A seaside town is very different from the suburb of a city centre, which in turn is very different from a rural market town. It is therefore important to pick a wide cross-section of perhaps 20 or 30 town centres for the trials. The amount of money needed to be invested in such trials would be negligible, because, if they were done properly, the private sector could become involved. I urge the Minister to look at one of the recommendations in the Portas review, which relates to getting the major chains and supermarkets involved.

In 2007, I won one of the few awards that I have won in my life. It was the IGD/Unilever social innovation award for work that we had done in a town called Huntly in the north-east of Scotland. We were opening a supermarket there, and the independent butcher and baker in the high street were under threat, but if we can get the major retailers involved in the right way and at the right level, they can be part of the solution, rather than part of the problem. That can also help to mitigate some of the costs.

Like other Members, I would like to offer up a town in my constituency to take part in a trial. It is the town of Kirkham. In it, there is a lady who runs a bookshop. She also sells ice cream and runs a tearoom in the shop. As the leader of the retailers in the town, she would be willing to lead a pilot scheme. If we want to send a signal that Britain is open for business, I cannot think of a better way of doing it than getting our high streets open for business.

--- Later in debate ---

[Dr Whiteford]

The hon. Gentleman makes a valid point about the challenges and pressures on local authority legal departments. As citizens and shoppers, we have a chance to address that.

[Mark Menzies]

Will the hon. Lady give way?

[Dr Whiteford]

I would love to but I am conscious of the time and of the fact that lots of other Members want to speak.

Some towns in my constituency are doing well and managing to swim against the tide, largely because the supermarkets are in the town centre. However, it only takes one or two attractions in a town, whether civic or shopping attractions, to make it an attractive place to shop. That has a knock-on effect for everybody. Although many local trade associations feel that they are swimming against the tide, many are doing the right thing and trying to become more attractive to shoppers: many are selling online from their shops, trying to compete with other online retailers, and trying to develop niche markets. They are also working with other traders to raise the profile of a town and make it an attractive destination.

We must recognise that although shopping patterns have changed, retail might not be the only option for our town centres. Banff in my constituency has an exceptionally high concentration of listed buildings. Shopkeepers face eye-watering repair bills in maintaining such buildings. They often cannot perform the renovations they would like to do, and their signage can be limited. It is a bigger issue for the wider community when buildings fall into disrepair or disuse, so we need to look at how to turn businesses, residences and offices back into housing in some cases.

I have been encouraged by all the great ideas that have been suggested in today’s debate. I shall certainly take some of them back with me, but I do not think there is one magic solution or a one-stop shop on this issue.