From the BBC:
John Lewis is seeking discounts from its landlords to cut costs, in a highly unusual move that highlights the huge pressures on retailers.
The BBC has learned that the retail giant has been telling landlords in some locations that it will withhold 20% of this quarter's service charge. These are the fees retailers pay on top of rent for services such as heating and security. John Lewis said the charges had become too high and urged landlords to help...
Debenhams has managed to slash its rent bill with reductions of up to 50% after securing a restructuring deal with its creditors. Struggling retailers have been turning to these so-called company voluntary arrangements as a way to cut costs. House of Fraser was bought out of administration by Mike Ashley's Sports Direct and many of these stores are currently paying little if any rent.
John Lewis are just nibbling at the edges here, the service charge is only a fraction of the rent, and they are only withholding a fraction of the service charge, but it's a start, and hopefully every other tenant will follow suit. And once landlords have reduced their rent expectations, there'll be fewer vacant shops.
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I tweeted this article, some drone from Conservative head office promptly started wailing on about pension funds etc. They are very efficient, it must be said.
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