Terror attack hammers High Street

By TEENA LYONS
Updated:

 

BRITISH retailers suffered a drop in sales of up to 30% last week in the wake of the attacks as consumers stayed at home to follow TV news coverage, according to industry insiders. And the High Street is bracing for a long-term knock in consumer confidence.

The biggest drop in sales was on Wednesday and trade has been slow to pick up since. Retailers fear it could be at least two weeks before sales recover and are pessimistic about the long-term effects of the predicted fall in tourism.

Comparisons with figures last year are difficult because Britain was in the midst of the fuel crisis last September with many shoppers unable to visit out-of-town centres because many garages had run dry. One general retailer said: 'The closest comparison is the death of Princess Diana. People are feeling numb, and shopping for things they may not really need is the last thing on their minds. The luxury end of the market has been hardest hit - conspicuous consumption just isn't appropriate.'

Another added: 'The real nervousness is about whether this triggers recession.'

Supermarkets are reporting flat sales, with a slight dip in stores in the South-East attributed to the large number of people in London who left work early in the wake of the tragedy.

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