More than 20 big-name retailers will not reopen for business at a popular Aberdeen shopping precinct as the city continues to be “battered” by the impact of the Covid-19 pandemic.
Bosses at the Bon Accord and St Nicolas Centre, situated in the heart of the Granite City, have seen big high street brands such as Topshop, Dorothy Perkins, Warehouse, River Island and Laura Ashley all shut up shop since March last year.
It comes as retail giant John Lewis announced it would permanently close its 200,000-square-foot store after 32 years in the busy shopping centre – with the loss of up to 265 jobs.
In recent days, the Disney store, which has operated within its Bon Accord retail unit since 1997, also announced it would not reopen.
Russell Borthwick, chief executive of Aberdeen and Grampian Chamber of Commerce, last night warned that Aberdeen city centre was at a “critical point” and urged shoppers to “get out and about” after the lifting of restrictions.
He said: “Recent weeks have seen a number of bad retail-related news days for the north-east.
“Our regional narrative, our talent attraction and retention story is being significantly weakened.
“Not just by the loss of big brand names, which is in itself totemic, but by the message this sends out and subsequent decisions that could now be made by other retailers and investors.
“Successful cities are a finely balanced eco-system of retail, culture, hospitality, residential and offices with people at their heart.
“If any of them are out of balance then the others are likely to fail.”
The closure of John Lewis and other big-name retailers prompted the Evening Express to launch its Save Our Shops campaign last month.
A city taskforce made up of local authority officials, business leaders and commerce chiefs have also held crisis talks with the high street giant in an effort to keep the brand in the north-east.
Adrian Watson, chief executive of Aberdeen Inspired, described the news of the Bon Accord store closures as “stark” and called for a ministerial response within government.
‘We’ll lose even more if people don’t support stores’
“Everyone keeps turning to blame someone else for the demise of the high street, but we’ve all got a part to play in this – these businesses support thousands of jobs for people in the city and Shire”, he said.
“We’ve still got big high street names, but we’ll lose even more if people don’t come out and support those stores.
“Let’s be clear, Covid has only accelerated the scale of the challenge that was already there for our city centre and most others in the country and beyond.
“For me, we need to see further strategic delivery of the city centre masterplan and the local council’s recent budgetary commitment to a further £150 million of investment is a welcomed step.
“We have already seen a redeveloped Broad Street area, a revamped national award-winning Aberdeen Art Gallery re-open and progress with the Union Terrace Gardens project.
‘Footfall is essential for the wellbeing of our retail’
“However, this is but the first tranche that is needed, both local and national partners must get behind bold and ambitious plans to further re-shape our city centre in meeting the many challenges that lie ahead. In so doing, we need to push forward with further ‘city living’ developments and look to attract more companies back into the city centre office accommodation, whatever the desired business model.
“This provides a captive audience, and this footfall is essential for the wellbeing of our retail and hospitality offerings. Despite the recent losses to the city centre, we still have the strongest retail offering north of the central belt and as it continues to adapt, it is essential that we support it and in so doing protect many local jobs and livelihoods.
“We need to rebuild our cultural offering and bring back globally acclaimed events such as Nuart and Granite Noir that attract people into the heart of our city. We need to hold onto all our existing assets in the city centre and neighbouring areas and look to attract more.”
Scottish Conservative Liam Kerr, who met with John Lewis bosses last week, said: “The Bon Accord Centre has been absolutely battered by the pandemic and it’s devastating to see.
“The closure of the Disney store as well as John Lewis in recent weeks highlights the alarming situation that our city centre faces.
“There needs to be specific Aberdeen support from the Scottish Government to get traders through this difficult spell before more closures occur.”
Aberdeen Central MSP Kevin Stewart is also disappointed to lose so many big-name retailers.
He added: “The pandemic has taken a profound toll on our city centre which has accelerated many long term trends already at play.
“The SNP has a £1 billion plan to support our city centres with £275 million for high streets and £719 million to ensure retailers don’t pay any business rates at all.
“What’s essential is that any future money is not squandered by the council administration as we have seen with Spaces For People cash in our city centre and beachfront.”
‘People can’t complain about shops closing if they buy everything online’
Aberdeen City Council co-leader Douglas Lumsden – a member of the taskforce – also said the public have a “responsibility” to protect retailers and other businesses in the city centre.
City council co-leader Douglas Lumsden.“There needs to be a fundamental change in business rates,” he said.
“It costs too much for businesses to have a shop presence, especially when they are trying to compete with online retailers who pay very little by comparison.
“However, there’s also a responsibility on everyone. People can’t complain about shops closing if they buy everything online.
“We need to try and support the high street and the best way of doing that is spending your money in shops rather than online.”
Mr Lumsden added a “key issue” is the future of the 265 John Lewis employees and those from other closing stores.
“There are 265 staff and their jobs are at risk,” he said.
“That’s one of the key issues at the moment.
“When you look around the city there are other places closing, and it’s going to be hard for other people to find alternative employment. That’s why we are doing as much as we can to get some life back in the city centre and create jobs for people.
“It’s never been as critical as it is now.
“It’s a downward spiral and that’s why we need to try and stop it as soon as possible to try and breathe new life into the city centre.”
Aberdeen City Council last month approved investment of £150 million to revamp the city centre, and administration leaders Mr Lumsden, Jenny Laing and Marie Boulton all sit on the taskforce.
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