Economic downturn

More people are coming into the Town Hall to sort out benefit claims and housing issues. The rise in unemployment is starting to have its consequences. Recently, we have seen Woolworths, Fleetwoods, M&S go or announce closure while other employers have announced redundancies. Many fear that the service industries will shed more jobs in February and March and that Bank amalgamations will have a consequence too. Some are fearing for pubs and one wonders about Wetherspoons with its vast empty spaces.
Fortunately, the Town centre in Sudbury is going to see the return of Iceland for Woolworths and the Co-op will replace Sommerfield. Without these the high street would be quite different. Clearly retailers still want to be in Sudbury.
The weaker Euro might bring more tourists to the UK from Europe and more Brits may stay at home this summer. Companies like Hoseasons are reporting big increases in bookings on the local news.
Yet, its the claims of how difficult it is for successful businesses to get loans to expand and grow that is worrying. The Banks are taking along time to realise that the taxpayer bailed them out and they need to lend responsibly not conservatively. For this adds to peoples fears that their jobs may be at risk and so they reduce their spending fearing a rainy day ahead. There was clearly a waiting for the sales as companies now report more sales in the New Year but lower profits. Lets hope that these lean times do not have a big impact later on in the year.