Tag Archives: Market News

At the risk of stating the blindingly obvious the key to Market projects is funding. Support streams, deadlines and eligibility criteria come and go as post-Brexit Britain replaces EU support with MHCLG funding. Rachel Reeves’ June spending review offered some hope to those Councils still looking down the back of the sofa to finance Market improvements and deliver Social Value.

The Chancellor confirmed the Government’s latest steps towards delivering its ambitious ‘Plan for Change’ mission to grow the UK economy through a revised Plan for Neighbourhoods www.gov.uk/government/collections/plan-for-neighbourhoods.

The scope of projects which will benefit from this £1.5bn fund has been doubled to 350 deprived communities and names 75 recipients and 25 ‘Trailblazer’ areas previously announced in March 2025. Local Neighbourhood Boards will be appointed to set targets and administer the delivery of community cohesion, regeneration and an improved public realm. This is a revamp of the Shared Prosperity Fund which itself was a substitute for European ERDF support. Quarterbridge offers bespoke Business Plans to support bids (or deliver projects already underway) incorporating the Economic Impact Assessment favoured by MHCLG assessors.

Markets clearly represent an excellent focus for bids. They are ‘low hanging fruit’ i.e. highly visible, cheap and within the gift of a Council to deliver. They are best promoted within the framework of employment creation and delivering social value as per The (Social Value) Act 2012 with plenty of evidence to illustrate how they create jobs and boost the local economy thanks to research by the New Economics Foundation and Joseph Rowntree Trust. MHCLG has also promised to simplify the appraisal process which comes as welcome news to anyone reading the HMG ‘Green Book’ guidance so popular with insomniacs.

Further discretionary grants are also available from the Welsh and Scottish governments through organisations such as Busnes Cymru https://businesswales.gov.wales which is particularly active at encouraging SME businesses who represent the Customers of any Market. Support for SME’s needs to form part of any Business Plans to stimulate demand for Market stalls. Delivery (in England at least) will be through Council-based support teams now Local Enterprise Partnerships are no more.

So the big picture is encouraging but the devil lies in the application and assessment process, as always. Give us a call to see how we can help. We’re always keen to chat through how Markets can be used as a focus for bids.

The Climate Change Act 2008 has profound implications for many owners of Market Halls. Energy Performance Certificates (EPCs) and Minimum Energy Efficiency Standards (MEES) have applied since 2015 and (wait for it…) it is now unlawful to grant new leases for buildings with an EPC rating of less than Standard E. As from April 2025 an EPC certificate must be registered online for all buildings. To compound this further the compliance standards will become more stringent and rise to Grade C in 2027 and Grade B in April 2030. The cold, draughty Market Hall may soon become a thing of the past. Good news, but read on…

So why the legislation? The UK Government is committed to reducing energy consumption and hence carbon emissions by 80% before 2050. The EU (which then included the UK) took a bold stance when promoting the Kyoto protocol in 2005 – unlike the USA, China and India which have never ratified it. A lot of the world is not green yet. Saving the world is commendable but poses a problem for Councils with a large stock of social housing and commercial property and struggling to balance their budgets. The good old days of not worrying about ‘costs in use’ i.e. heating and lighting for Market Halls by simply dumping rising costs onto a service charge are dead and gone.

How to introduce EPCs for existing buildings is a legislative problem which in all fairness has been pretty well thought through. New builds are simply required to meet the standards but how to ensure existing buildings are upgraded is a real problem. There are ‘get out’ clauses such as an exemption for historic listed buildings which would be ‘unacceptably altered’ by compliance. Also for those where compliance works would be more expensive than energy savings anticipated over 7 years – the nattily-named ‘7-year payback exemption’. But exemption claims need to lodged online, or else.

As for any legislation affecting existing tenants there are lease implications which have been anticipated. A lease renewal cannot be refused because the property is sub-standard, nor can a Tenant prematurely terminate their lease because a landlord fails to comply. This could add another level of complexity to often-contested service charge demands levied by landlords. If existing Tenants don’t contribute to compliance this can result in a two-tier rental and service charge structure. Pity the poor Market Manager who has to unpick that problem.

Help is at hand though. A registered Energy Assessor using Government-approved software can calculate an existing performance standard then go on to identify the most cost-effective improvements to ensure future compliance. These include roof overcladding, draught lobbies and the offset effect of PV panels and airsource heatpumps. Then it is down to a Quantity Surveyor to estimate the costs and practicality. The problem still remains of how cash-strapped Landlord can afford the works but there are emerging ways of doing so at very modest cost – contact Quarterbridge if you’d like to discuss with our Energy Assessor.

The DLUHC is promoting three government-backed schemes to revitalize High Streets – the most significant for Markets being the Community Infrastructure Levy. CIL is already in place and proposals for ‘High Street Rental Auctions’ and ‘High Street Accelerators’ are pending.

The Levelling Up and Regeneration Act 2023 empowered County and Unitary Councils to charge a levy when a planning consent is granted, with a share of the proceeds (typically 15%) passed down to lower tier Councils. The intention is to replace unwieldy S.106 agreements attached to consents with a mandatory levy applied across all developments to fund infrastructure for schools and transport etc. All forms of development including changes of use are liable but a ‘Charging Authority’ has a get-out clause for how it is levied. A zero rate can be set for projects delivering a net benefit to the Community e.g. a Market development which creates employment and supports local producers.

Fair enough – it’s not unreasonable to expect developments to contribute to the infrastructure they require. But Council-owned Market developments should become the recipient of and not a donor to CIL. Markets are the starting point for SME businesses which grow to fill empty High Street shops and support the local economy. Ask Mary Portas and the Joseph Rowntree Foundation. Applying CIL funds to support Market projects is more than justifiable.

But there are Markets and there are MARKETS. Modernising a Council-owned Market Hall to revitalise a Town centre is admirable but poses the dilemma of whether privately-owned venues e.g. a Carboot sale or a Market Hall which morphs into a leisure-based Food & Beverage destination deserve support. Do F&B developments which replace a Market Hall Butcher and Greengrocer really serve Dan and Doris and the community? Maybe the funding should be focussed on supporting SME businesses instead?

The Act does contain exemptions e.g. no levy on Social Housing or ‘Self-builders’ who develop for their own occupation – but an application for exemption needs to be lodged before development work commences. Nor does CIL replace contributions demanded by private infrastructure providers e.g. Water Companies needing to upgrade their treatment works. Theory says such investment should be borne by Customer supply charges but the scale of investment needed to meet discharge quality standards is enormous. The Water Industry Act 1991 enables them to demand contributions.

The DLUHC’s proposed ‘High Street Rental Auctions’ pilot scheme is intended to enable Councils to force the auction of leases for High Street Shops standing empty for more than a year. The leases can be for up to 5 years and auctioned without a reserve price but who picks up the bill for refurbishment and whether low rents granted will be supported by Small Business Rates Relief is unclear. DLUHC is also inviting bids for 10 High Streets for another pilot scheme – the ‘High Street Accelerators programme’ to create ‘Green Community space’ from a £5m fund. The response to these pilots is intended to guide policy for the DLUHC’s proposed £1.5 billion Long-Term Plan for Towns.

Of the three initiatives CIL offers a real opportunity to kickstart a Market project.

Every 10 years or so another product defect emerges to plague building owners. The latest is RAAC (Reinforced Autoclaved Aerated Concrete). Structural failures in school roofs built of RAAC in the 1970′s and 1980′s is bad news for budget-stricken Education Authorities – and the Daily Mail is on the case. Enough said. This is a repeat of the Asbestos, GluLam beams and High Alumina Cement crises we’ve seen before and it is not new news – the Local Government Association, Building Research Establishment and Institution of Structural Engineers have been warning about RAAC for many years. Take a look at the LGA website: www.local.gov.uk/topics/housing-and-planning/information-reinforced-autoclaved-aerated-concrete-raac

The designers of 1970′s Shopping Centres and Market Halls were very enthusiastic about RAAC at that time. RAAC planks were a great solution as roof spans for large buildings. They were made from foamed concrete poured into moulds over mesh steel. Autoclaving the mould made them quick and cheap to produce and the foamy concrete made them far lighter than solid cast concrete slabs. They were just the job for a new roof – add insulation and a nice weatherproof covering and there you have it. The trouble was that RAAC had an estimated design life of about 30 years – more if properly maintained but less if neglected.

As my wonderfully diligent Building Surveyor colleague Vijay says: ‘Why doesn’t anyone ever read the specification?’. There’s nothing he likes more than poking around in dark corners to remind everyone materials have a finite design life. Roofs and drains and plumbing services need maintenance to extend their design life. His recommendations for planned maintenance with advisories from the Building Research Centre keeps Clients awake at night.

There are always practical solutions to sort any problems but who pays? If a privately-owned Shopping Centre with a Market Hall contains RAAC the Lawyers will start reviewing the headlease. That was not an uncommon arrangement for a 1970′s town centre redevelopment where Councils often retained the freehold and a headrent in return for assembling the site. That often included a sublease of the Market Hall back to the Council who then sublet to the Traders. Where does repairing liability rest for an ‘inherent defect’? – with the freehold or headlease or the sublease? And can a product or design warranty be called upon? – both are pretty unlikely.

It’s trickier still when the Market Hall or Shopping Centre is sublet to Tenants. Is there a so-called sinking fund available to cover the cost of remedials (probably not) or could the costs be recovered via a communal service charge levied on Tenants? Try getting that one past a Market Traders Association. As for lodging an insurance claim to pay for an inherent defect – well good luck.

But look on the bright side. If you’re the owner of a Shopping Centre which includes an RAAC-affected Market Hall it is probably under-occupied. This could be an excellent opportunity to relocate the Market into an empty shop (a Wilko?) while the Lawyers sort out a deal with the Council. Relocation could be good news for everyone, not just for footfall in the Centre and the Market Traders.

Following extensive input from Quarterbridge Market Developments and Quarterbridge Lettings, Doncaster’s newly refurbished Wool Market has enjoyed a hugely successful first week’s trade.

Quarterbridge have been advising Doncaster Council on the redevelopment of the Wool Market, which forms part of the overall Markets estate in Doncaster town centre, since March 2017.

Doncaster Wool Market opened this week with a diverse mix of new catering and retail units

After closing in December 2017 for refurbishment, Doncaster Wool Market opened this week with a diverse mix of new catering and retail units centered around a stage and communal seating area. The building has seen an overhaul in the layout and quality of stalls, toilet facilities have been installed and glass frontages have been put in place around the building. The car park, located directly next to the Wool Market, has been extended by an additional 97 spaces now feeding directly into the building.

Quarterbridge Lettings, the UK’s only dedicated letting agency for markets, designed the tenant mix and pre-let the project to entirely independent retailers and street food businesses.

An exciting new shopping and dining experience

Thousands of people came to the Wool Market over the opening week to enjoy food from all over the world, shop at a diverse mix of quality retailers and relax in the communal seating area whilst enjoying live music and entertainment. The Wool Market redevelopment has provided Doncaster with an exciting new shopping and dining experience.

The future of markets is about more than just developing buildings

The future of markets is about more than just developing buildings, it is about developing social hubs by creating a multi-use space which encourages dwell time and perambulation. The Wool Market encapsulates these values, providing a family friendly, enjoyable space which supports Doncaster’s early evening economy (with the food court open until 9pm Thursday-Saturday).

Social media feedback has been overwhelmingly positive

Social media feedback has been overwhelmingly positive following initial skepticism about the value of the project and future of the market. Businesses in other areas of the market estate and in this area of town have seen an uplift in trade, with some doubling their usual takings, demonstrating the business and community value of thriving markets.

QB- Wool Market Opening Press Release 1

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Government officials took time off from Brexit negotiations last month to launch two crucial initiatives: A ‘traffic light’ scheme from DEFRA proposing retailers add red, amber or green labels to show if their packaging is recyclable. And a ‘calorie cap’ recommendation to limit the size of takeaway pizzas. A pleasant change to worrying about Brexit no doubt but rather missing the point – the need to reduce consumption. Curbing the volume of unnecessary packaging and banning double sausage and egg McMuffins would be a start. Quite how HMG would implement these proposals is not clear. Maybe Brexit will provide an answer.

The LADS must be doing something right.

Meanwhile the quarterly results for the LADS (Limited Assortment Discounters i.e. Aldi and Lidl) show they continue to bite chunks out of the ‘Big Four’ supermarkets. Lidl boosted sales by 10% and Aldi by 15%, partly from new store openings and partly from own-label product lines. The Co-op also did well with turnover up 7%. By comparison Asda and Morrison increased sales by 2.4% but Tesco only managed 0.9% and Sainsbury 0.6%. The LADS must be doing something right.

Variety is the spice of life.

Retail analysts have pointed fingers at the oversupply of supermarket space by the Big Four, problems with suppliers and poor variety. Reducing product lines to reduce prices has been adopted by Tesco to compete with the LADS but I think they’re missing the point. Variety is the spice of life. It‘s what makes a Market successful.

Morrisons offers the best variety in the UK

My holiday comparison between Aldi and Intermarche (France) and Morrisons and Tesco (UK) was an eyeopener. OK, the prices are higher in the EU thanks to exchange rates but the sheer variety on offer in France is far wider. Morrisons offers the best variety in the UK and their sales confirm as much but Intermarche simply crams more product lines into the same floor space.

Note for Market Managers – Variety attracts footfall.

A pallet of engine oil at the end of an Aldi aisle might seem odd but expectation of a ‘Managers offer’ or an ‘own-brand special’ attracts footfall. Maybe it’s time for you to stooge around the competition and offer seasonal specials.

Note for Market Stallholders – Look at refreshing your offer on a regular basis.

In direct response to the challenge of the LADS Tesco launched ‘Jack’s’ last month – it’s new brand of discount store. It used a mothballed store development in Chatteris to offer limited range, no frills displays, short -term discounts and an emphasis on British suppliers. ‘The cheapest in town’ said Lawrence Harvey, retail director of Jack’s – but only locally, not nationally. My suspicion is this is not going to cut it with an Aldi or Lidl shopper who enjoys cheap (if oddly-named) chocolate across the UK.

Retail analysts have reminded everyone of Sainsbury’s Danish experience

Retail analysts have reminded everyone of Sainsbury’s Danish experience. It dipped a toe in the discount pool four years ago when it partnered with Dansk Supermarket Group to bring discounter Netto to the UK in a £25m partnership. It trialled 16 stores at discounted prices but folded the partnership two years later because of an ‘increasingly competitive market’

Do you go for high-volume ‘pile it high, sell it cheap’ sales

And therein lies the dilemma for many Market businesses. Do you go for high-volume ‘pile it high, sell it cheap’ sales with a limited variety you can buy cheaply in bulk, or do you push high-margin niche products for which you have specialist knowledge? My money is on the latter.

Checkouts will soon verify age using facial recognition technology

Finally, those of us fortunate enough to still enjoy youthful good looks will be relieved to learn checkouts will soon verify age using facial recognition technology. ‘Fastlane’ self-service checkout manufacturer NCR has announced a partnership with software company YOTI to integrate a camera and age assessment technology into self-service tills.

No longer will we need to answer tedious questions and produce proof of age when buying age-restricted goods such as booze, fags, knives, fireworks, X-rated DVD’s etc.

Waiting for age approval at self-checkouts is a source of frustration

Robin Tombs, chief executive of Yoti, said: ‘Waiting for age approval at self-checkouts is a source of frustration for many shoppers who just want to get home as quickly as possible. It’s a simple process that helps retailers meet the requirements of regulators worldwide’.

Hmmm… NCR did not confirm whether their tills will breathalyse the shopper to determine if he/she is already plastered (selling to them would also be an offence) or whether it will remove the security tag on your bottle of gin.

In retail today we take many things for granted and forget someone had to invent them. Machine-readable barcodes – the basis of stock control and EPOS – were the brainchild of Alan Haberman in the 1970’s but 40 years before then the late Sylvan Goldman, owner of ‘Humpty Dumpty’ grocery stores in Oklahoma invented the ‘greatest ever development in the history of merchandising’ – the shopping trolley.

Until the 1930’s grocery stores had always been ‘serve-over’

The USA has always been a consumer-driven society eager to embrace new ideas. Until the 1930’s grocery stores had always been ‘serve-over’ and the issuing of self-serve baskets to reduce staff costs was relatively new. Goldman had a lightbulb moment when he realised self-serve sales could be doubled with ‘Trolley-carriers’ to overcome the weight of a basket.

Shopping trolleys were a flop when introduced in 1937.

In a later TV interview Goldman recorded how Shoppers resisted the idea. Women said: ‘I’ve pushed enough baby carriages. I don’t want to push any more’ whilst Men said ‘Are you saying I’m a wimp? Do you think I can’t carry a pesky little basket?’ – or something like that. Shopping trolleys were a flop when he introduced them in 1937.

The design evolved from two loose baskets in a folding, wheeled frame

But he had the strength of his convictions. He spent a small fortune on newspaper and radio advertising to make them fashionable and hired attractive young girls to walk around pushing his new invention. Staff were trained to spot people struggling with baskets and to place them in his wheeled carrier frame – which also carried a second basket so they could carry on shopping. The design evolved from two loose baskets in a folding, wheeled frame into todays single large-capacity fixed basket in a stackable frame. And trolleys in the USA are BIG – about half as big again as those in the UK.

Goldman also experimented with less-successful techniques

Goldman also experimented with less-successful techniques.He tried to emulate Henry Ford and attached baskets to a track along which customers shuffled collecting produce as they went. But that was a stinker. When anyone stopped to read a product label everyone else stopped. Oh well, back to the drawing board….

Goldman tried to understand Shopper psychology, kept experimenting and wasn’t frightened of change

The point is that Goldman tried to understand Shopper psychology, kept experimenting and wasn’t frightened of change. He persisted and soon overcame Shoppers’ reluctance and patent his idea before dying as a very wealthy man indeed. The Yanks are good at innovation.

Todays big retailers are still looking for a lightbulb moment but I’m sorry to say few Markets match them

Todays big retailers are still looking for a lightbulb moment but I’m sorry to say few Markets match them. Take product lighting for instance. A whole industry has evolved around product lighting – different wavelengths and different focusses for different products: meat, fish, vegetables, fabrics and jewellery. And it works – well-designed lighting increases sales by about 25%. A Draper no longer needs to take a Customer outside to show them his sample – specialist lighting brings daylight into the stall. Nowadays product-specific lighting is cheaper than ever. The exposed fluorescent tubes of many Markets should be history.

Unintended ‘impulse purchases’ are driven by lighting and presentation

Research has confirmed a well-lit and laid-out shop convinces Shoppers to buy 50% more than they intended when they walked in. Unintended ‘impulse purchases’ are driven by lighting and presentation and Supermarkets ensure the most alluring sensations – flowers and produce – stand at the front in a ‘decompression’ zone to relax Shoppers as they arrive. The basics – dairy produce and bakery – are positioned at the back to draw shoppers past the shelves and many US stores employ friendly ‘greeters’ to open the door and say Hello. It may sound a bit naff to us Brits but one of the most successful Stallholders I know does the same. He simply stands out in front of his stall in a nice fresh uniform and says Hello to Dan and Doris. They love him.

ASB on private premises is a civil not a criminal offence

A friend recently introduced me to a Superstore manager relaxing in our local after a hard day at the checkout. He complained about the early-morning task of evicting rough sleepers from shopping trolley shelters in his carpark. In bad weather they are a cosy alternative to a draughty doorway with the added bonus of skip diving for food in his waste bins. I was sympathetic. Market Hall entrances seem to attract similar ASB (anti-social behaviour) despite deterrents such as ‘Mosquito’ ultrasonic transmitters (audible only to under-25’s) and ceiling-mounted sprinkler bars which discharge after closing hours. I’m told both are reasonably effective and a lot cheaper than a security guard. But as a Landlord don’t expect any help from PC 49. ASB on private premises is a civil not a criminal offence and when Landlords do take action they can expect complaints about infringing peoples human rights. Hmmmm…..

Shopping trolleys are more germ-laden than well-used public conveniences

My Superstore manager’s problem is staff morale – confrontations and clearing cardboard and other errrr…remains left behind in smelly corners. To cap it all his Company Health & Safety Manager now quoted research confirming shopping trolleys are more germ-laden than well-used public conveniences. Research commissioned by the ‘bag-for-life’ company Reusethisbag and a separate study by the University Hospital of Marburg, Germany (no less) suggests trolleys host several hundred times more E Coli and Salmonella than a well-used WC. Think about that the next time you see a child chewing on the trolley handle. Cash machines and self-service fridge doors have the same problem. And you don’t want to know about the grab handles in a London Underground carriage.

There are Companies which rock up with a highly-visible ‘trolleywash’ unit, sterilise the trolleys and sanitise the shelters at the same time

But of course someone in the USA quickly spotted the business opportunity. There are Companies which rock up with a highly-visible ‘trolleywash’ unit, sterilise the trolleys and sanitise the shelters at the same time. Customers love ‘em. It’s one less thing they’d never thought about and now it’s one less thing to worry about. My Supermarket friend suggested this to HQ but was told the cost would come out of his bonus. Instead he slips a few bob to his Carpark Carwash blokes and they do it for him instead. Good thinking.

Epsom Ladies day, 1^stJune was extra scary this year. The usual scrummage of hats and high heels at the bars turned nasty when the Visa credit card system crashed. A lot of ladies were less than impressed and bar staff had to be rescued by security.

It came as an unwelcome wake-up call for many retailers

The problem was Europewide according to Visa which blamed a hardware failure rather than a Russian cyber-attack. The problem was not the Ladies or the Merchant accounts but a Visa computer which fell over and could not send back authorisations. Visa had it sorted by Saturday lunchtime but it came as an unwelcome wake-up call for many retailers. The vast majority of high-value sales are electronic, either in-store or online but few seemed to have an in-store backup plan, apart from cash. Forlorn staff standing outside a store waving ‘Cash only’ placards does not inspire Consumer loyalty. Long delays built up at the Severn Bridge toll and the London Congestion Charge system ground to a halt. It all came as a unpleasant surprise and warning of just how vulnerable Consumers are in a cashless society. My enterprising garage owner rose to the challenge. He dug around in his storeroom and emerged with a big smile and a ‘Click Clack’card voucher machine.

Markets are – somewhat reluctantly – embracing EFT (Electronic Funds Transfer)

Markets are – somewhat reluctantly – embracing EFT (Electronic Funds Transfer) i.e. credit and debit cards but they have a long way to go to match mainstream retailers. Visa failure meant queues quickly built up at ATM’s, some of which also failed so if you already take plastic or plan to do so (recommended) this may be the time to consider a backup plan for your hardwired terminal. I was surprised so few High Street retailers could offer an alternative. I-Zettle, Square, Google Pay, Paypal or Apple Pay are all options instead of cash. They could be worth investigating – there are plenty of options at increasingly-competitive rates. Some also incorporate the £30 contactless service.

Where have all the Bank branches gone?

A second problem faced retailers on Monday morning – how to pay the cash into their bank account. Where have all the Bank branches gone? The British Bankers Association says log-ins for online banking have grown to about 9.6 million per day whilst ‘over the counter’ transactions have fallen by 6% in the last year. More than 600 bank branches closed in the UK last year with many small towns in rural areas losing all their banks. Commuter towns have also been affected. Customers are more likely to use branch banking near their place of work whilst at work.

High Street Bank branches have shrunk from about 11,000 to 8,000 over the last 10 years and more closures are expected. Newcomer Metrobank has bucked the trend by opening 40 branches with a further 60 expected by 2020 but they are in conurbations.

Loss of Bank branches is particular problem for rural communities

Loss of Bank branches is particular problem for rural communities as many host a large proportion of home businesses. Basic banking is still available at 11,500 Post Office branches but they’re also downsizing as Postal services move online. To assist, the much-troubled Royal Bank of Scotland has introduced a ‘Bank on Wheels’ for rural areas with some success and ATM manufacturers are developing unattended ‘lobby service’ Mini-banks.

Markets need to widen their services

The Charity Age UK has pointed out how older customers reluctant or unable to go online are suffering. The Federation of Small Businesses is also campaigning on behalf of small businesses and In response HMG has promised additional prior consultation by the end of this year but the writing is on the wall. Small wonder then that Supermarkets have been offering EFT, checkout ‘cashback’, ATM’s and Sub Post Office concessions for years. How many Markets do the same? Markets need to widen their services..

TSB lost some 12,500 customers as a result of an IT systems crash in April

Visa was not the only one with online problems. At least it was not suffering the ‘online assault’ described by TSB Chief Exec. Paul Pester to the Parliamentary Treasury Select Committee. He confirmed TSB had lost some 12,500 customers as a result of an IT systems crash in April. During that month it attempted to transfer 1.3 BILLION customer records from TSB’s previous parent company, Lloyds to it’s new Spanish owners Sabadell. But TSB was ‘overwhelmed’ by fraud attacks during this ‘system migration’ which generated 10,600 fraud alerts, 2,200 attempts at cyberfraud and up to 1,300 TSB customers suffering actual financial loss. Mr Pester and TSB Chairman Richard Meddings could not apologise enough to the 94,000 customers who had lodged complaints. MP’s on the Committee could be seen shifting uneasily in their seats and thanking their lucky stars they didn’t have to clear up the mess.

Sainsbury’s announced it is trialling a new ‘relaxed checkout lane’ in its store at Prestwick for people who suffer from dementia

Meanwhile Sainsburys continue to grab headlines following their proposed Asda merger news. The Supermarket announced it is trialling a new ‘relaxed checkout lane’ in its store at Prestwick for people who suffer from dementia. It’s being run in conjunction with charity ‘Alzheimer’s Scotland’ and bosses hope it can be rolled out across the country. Staff have received extra training to help sufferers and the checkout lane has been de-cluttered, but now with images which represent coins and their value.

Very commendable I’m sure but actually old news. Market stalls have been offering enhanced service to disabled Shoppers for years.

Supermarkets suffer the same problems as market traders – but on a grander scale. This includes underestimating how long it takes to generate turnover and profit sufficient to cover borrowings. We’ve all seen the enthusiastic but inexperienced start-up who lasts 6 months before the savings run out and he does a midnight flit leaving unpaid rent and suppliers behind. ‘Turnover is for egotists but profits are for realists’ is a classic saying – and a classic argument for cheaper bank loans and more tax breaks. Hopefully George Osborne will consider both now he doesn’t need to worry about re-election.

It took Aldi 25 years to generate enough turnover to become the UK’s sixth largest retailer

It took Aldi 25 years to generate enough turnover to become the UK’s sixth largest retailer. This was confirmed by first-quarter figures showing they’ve secured 5.3% of the retail grocery sector. That puts them ahead of Waitrose (a mere 5.1%) but still a long way short of Tesco at 28%. But every little helps.

What a pity they’re German, not British

At the same time Aldi announced ambitious expansion plans with another nine London stores in 2015 and a nationwide target of 1,000 by 2022. Contrast this with Tesco who ditched 40 + planned openings in the UK plus more abroad before posting a £6.4billion pre-tax loss. The fact that Aldi is both foreign and privately-owned simply rubs salt into the wound. It is not subject to corporate shareholder pressure for increased profits, year-on-year so could take it’s time to understand an overseas market. What a pity they’re German, not British.

It cost Tesco £1.2billion in write-offs when they pulled out in 2013

Asda retained their second place at 17% whilst Sainsbury held on at 16% but is suffering the same fall-out from overseas expansion that characterised Tesco under former Chief Executive Phillip Clarke. Tesco thought the best way to maintain turnover profits was overseas so launched their all-new ‘Fresh ’n Easy’ brand in blue collar USA. But they underestimated just how ‘mature’ US consumers are and that car workers in Detroit don’t understand self-service checkouts. It cost Tesco £1.2billion in write-offs when they pulled out in 2013.

Sainsbury’s venture into the unsophisticated retail economy of Egypt went dramatically wrong

Maybe Sainsbury’s new CEO, Mike Coupe should have considered this last year when he took over from long-standing predecessor Justin King. Sainsbury’s venture into the unsophisticated retail economy of Egypt went dramatically wrong when the Egyptian Courts charged JK with some (admittedly very dubious) allegations of embezzlement. Unfortunately Sainsbury had got into bed with a local developer who then went bust which cost them a modest £111million in write-offs after 18 months. But the ex-partner continued to pursue Sainsbury for alleged embezzlement so when Mike took over he travelled to Egypt to appeal against a guilty verdict. He very sensibly caught the return flight before the outcome of his appeal was announced which was just as well because he was sentenced to two years in Cairo Clink in his absence. There’ll be no more Egyptian sightseeing holidays for Mike unless he wants to do it in handcuffs.

This is not what one expects from a FTSE100 Company

The amazing thing is that investors learnt about this from the media, not from a Shareholder announcement. This is not what one expects from a FTSE100 Company and must rank alongside JK’s 2007 denial of Sainsbury colluding with suppliers to rig dairy product prices. Until two months later that is, when he announced a £26million out of court settlement with The Office of Fair Trading to avoid prosecution. Hmmm…….

Taking your eye off your home turf and forgetting what you do well may be a big mistake.

It seems the bigger you get the more confident you are that size alone will enable you to do a better job than the locals, even if you choose the right partner. Taking your eye off your home turf and forgetting what you do well may be a big mistake. Tom Jones (yes, THAT Tom Jones) was top of the bill in Las Vegas for 40 years before being offered a lucrative partnership in a new Hotel development. He’s no fool when it comes to business and turned it down, saying: ‘What do I know about running Hotels – I’m just a boy from the Valleys who can sing a bit’ which was not unusual.

The ‘Big Four’ Supermarkets are now faced with an inquiry by the Competition and Markets Authority

The fallout of all this is going to get worse says Begbies Traynor, the corporate insolvency practitioners. They suggest 1,400 wholesalers face imminent collapse as price wars escalate and buyers cut out the middlemen and deal direct with producers. After all, someone has to pay for the ‘£1 deals’. More worryingly they predict a bleaker picture still when Aldi and Lidl capture up to 20% of market share as predicted. They point out that: ‘The majority of Aldi and Lidl’s packaged stock is own-brand sourced from overseas, so struggling UK suppliers could find themselves squeezed even further’ – particularly if Sterling continues to strengthen whilst the Euro goes South. To add to Sainsbury problems the ‘Big Four’ Supermarkets are now faced with an inquiry by the Competition and Markets Authority (successor to the OFT and Competition Commission). This was triggered by a so-called ‘super complaint’ lodged by ‘Which?’ magazine alleging they systematically mislead shoppers by reducing pack sizes without reducing prices and make seasonal offers where the ‘previous higher price’ only applied out of season etc etc. I can’t help thinking this will only restate the bleeding obvious and result in a few adjustments to the Pricing guidelines and Groceries code of practice.

Mind you, a bit of adjudication in favour of shorter payment periods for suppliers would be welcome. Tell me about it.