British riots will cost retailers ‘tens of millions’

The riots, looting and arson will cost retailers tens of millions of pounds and could put smaller firms out of business, experts have warned.

Although a massive clean-up operation was under way yesterday, there were fears that some shops will be unable to restart trading after the violence ends.

Richard Dodd, of the British Retail Consortium (BRC), which represents about 90 per cent of retailers, said small businesses were particularly vulnerable because they faced tough trading conditions before the trouble began.

“Many retailers were under quite a lot of pressure anyway, particularly some of the smaller independent ones who haven’t got big national resources to draw on, and undoubtedly in some cases it won’t be viable for them to start up again,” he said.

The BRC called for urgent action to help shopkeepers protect property and demanded assurances that the police would use “robust” tactics and ensure offenders are “suitably punished”.

“It will amount to tens of millions of pounds in terms of damage to property, goods stolen, and of course lost business,” Mr Dodd said.

The Association of British Insurers said the riots were likely to also cost insurers tens of millions of pounds.

Councils and residents in some of the worst affected areas of London have begun sending out clean-up teams for what is expected to be a lengthy operation.

A spokeswoman for Hackney Council in north London said it had sent teams out “as soon as it was safe”, and more than 18,000 people joined a campaign on the website Twitter to help the clean-up across the capital.

Hackney’s Mayor Jules Pipe, chairman of the local government organisation London Councils, said: “London’s boroughs have been leading on the clear-up of the damage caused to their communities.

“Clean-up teams were on stand-by from the early hours of (yesterday) morning waiting for the go-ahead from the police and their efforts to make streets safe and clean for residents and businesses will have helped the capital pick itself up from (Monday night’s) disorder.”

In Enfield, council street cleaners cleared away debris to allow the area’s one-way system to reopen.

Coun Chris Bond said: “Our street workers have done a marvellous job in clearing away debris…to ensure Enfield town is open for business.

“This shows we will not let these criminals beat us.”