BRC urges government to release funds faster to stop retailer insolvencies

High streets task force clothing retailers

The British Retail Consortium (BRC) has urged the government to speed up the time it takes for retailers to gain access to the proposed loan and grant schemes, otherwise many will be “insolvent in a matter of weeks.”

Addressing the issue, CEO of the BRC, Helen Dickinson, said: “The government has made a number of unprecedented moves to help businesses in recent weeks, which are very welcome.

“However, as we continue to make clear in our regular dialogue with government, hundreds of viable retail businesses that have been forced to cease trading, or seen trading significantly curtailed as part of the response to the coronavirus crisis, need urgent action to ensure that they are eligible to receive funds from recently announced government loan and grant schemes, or they will be insolvent in a matter of weeks.”

The treasury recently announced that thousands of retailers are starting to receive £25,000 cash grants to keep them afloat during the COVID-19 crisis, and they will be exempt from paying business rates. But, for some, who were already struggling before the crisis hit, it will be too little, too late, if easier and faster access to such funds is not made available very soon.