Small Shop Closures are Progress Says Ex Tesco Boss

Posted on 12 February, 2013 by Jodee Redmond

Former Tesco boss Sir Terry Leahy believes the rise of supermarkets and the closure of small shops is simply “part of progress.”

He made the comments while speaking on BBC Radio 4’s Desert Island Discs. Sir Terry also described some high streets as “medieval” and said that the way people live their lives has changed.

He conceded that seeing boarded up local shops is sad, but that this happens because consumers are choosing to shop at larger stores. The benefits of shopping at out-of-town stores simply outweigh the downsides, he said.

When Sir Terry was asked whether he thought it was simply “tough” that a family butcher’s shop had to close  because it was unable to compete with the “three-quid-chicken” that can be bought at a supermarket, he stated;

“Small benefits for thousands of families can be a big loss for the family of the butcher but you can never be casual about it. You have to ensure the better organisations come through.”

Sir Terry knows he won’t please everyone with his views on supermarkets but he insists that the vast majority of people prefer larger stores.

“I felt very strongly inside that Tesco was doing the right thing, in terms of how it was conducting its business, how it was serving ordinary people and how it was employing ordinary people but I realised I wasn’t winning the argument for some people.”

The British Independent Retailers Association said that 98 per cent of the country’s grocery industry, which is worth £150 billion, is controlled by only nine stores.

But deputy chief executive Michael Weedon points out that as large chains are closing, more properties are becoming available at rents affordable for independent retailers.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Recent Posts

The latest property data has identified Newquay as the fastest property seller’s market in the UK

Investing in your garden can increase your property’s value

French Riviera temping high-end homebuyers

How can the ownership rights of my commercial property impact a business sale?

Should I incorporate virtual property viewings permanently?

Investment expected to increase across Asia-Pacific in 2021

UK property industry slows as the conclusion of tax break looms

BNP Paribas cautioned investors on Friday as debt-trading bonanza that increased its earnings this past year

Over 300,000 property purchases fell through in 2020 – we show the most frequent motives and the best way to get your house sale back on track

House Prices in the Capital Surpass £500,000

Optimism from the Bank of England’s chief economist

The most expensive commercial properties.

Businesses operating from shared premises will miss out on grants

BA cuts 12,000 jobs, unions hit back

Media Streaming Service See Record Subscriptions

Covid-19 Causes Millions To Claim UK Furlough Scheme