London (AFP)

The pandemic threatens to do considerable damage to trade in the United Kingdom, between bankruptcies and job losses, even if many brands are trying to restart their activity while the containment is not yet officially lifted.

Retail sales recorded a record drop of more than 18% in one month in April, and certain consumer habits "have changed forever" this week warned the boss of Marks and Spencer, suggesting a decline in lasting attendance at shops physical.

Overview of the impact of confinement on businesses, most of which were already very weakened by the boom in online sales and by cautious consumers before Brexit.

DIVING CLOTHING

Clothing sales plunged 50% in April over a month due to the closure of stores, for example at Marks and Spencer, Next or Primark, without online sales increasing.

Others are forced to lay off such as the chain of shoe stores Clark's which cuts 900 administrative positions. The department store chain Debenhams has declared bankruptcy in order to preserve its liquidity and avoid dismantling.

"The lack of social interaction, whether at work, with friends or on vacation, has decimated the demand for new outfits," said Richard Lim, an analyst at Retail Economics.

And he fears that reopening will be difficult if customers hesitate to use the changing rooms or are greeted by masked sellers.

PUBS AND RESTAURANTS CALL FOR HELP

The closure of all pubs in the area was a heartbreak for many Britons.

Even if some organize to deliver beer, many pubs are afraid of having to close their doors.

The professional organization British Beer and Pub Association (BBPA) fears that 19,000 of them, out of the 47,000 in the country, cannot reopen, and calls on the government to do more to help the most fragile establishments.

In restaurants, the Carluccio's chain was swept away by the coronavirus but has just found a buyer, at the price, however, of the closure of 40 establishments and 1,000 redundancies.

The Casual Dining Group, which owns the brands Bella Italia, Café Rouge and Las Iguanas, is soon to be placed under bankruptcy, which threatens 6,000 jobs.

Others, however, are trying to leave. The popular Pizza Express chain reopens 13 of its restaurants in London, but only for takeout.

In terms of fast food, a few dozen McDonald's restaurants have reopened, in a "drive" version only. Other brands such as Burger King, KFC and the chains Pret à manger and Starbucks are starting to offer take-away sales, on a small scale for the moment.

SUPERMARKETS RESIST

They were the big winners shortly before the containment, with the British rushing to make stocks for fear of shortages.

This unprecedented configuration also led to a wave of hirings, Tesco having recruited 45,000 people in two weeks, at the end of March and the beginning of April.

If the frenzy of purchases of food and essential goods has subsided, the big chains expect sales still significant, especially thanks to the internet.

"For food distributors, adapting to a change in habits will be the key, whether it be a return to regular store visits or the continuation of home deliveries at the same rate as today," emphasizes Ian Geddes, an official from Deloitte.

AUTOMOBILE WANTS TO ACCELERATE

Car sales were almost wiped out in April in the UK due to the closure of dealerships.

The SMMT sector association urges the government to authorize the reopening of the country's 4,900 dealers as soon as possible.

It calculated that each day of closure costs the state 61 million pounds, due to lower tax revenues and the use of the partial unemployment scheme.

© 2020 AFP