DFS founder slams landlords for 'shameful devices' that give failed firms an edge

21st September 2009 | upholstery | Lord Kirkham has criticised 'short sighted' landlords for allowing failed retailers to gain an edge over hardworking and solvent rivals by taking advantage of pre-pack administration and company voluntary arrangements.

In his regular column in trade paper Retail Week, the upholstery chief said 'these shameful devices give badly managed businesses a high cost advantage over neighboring retailers that have worked hard to trade solvently through the recession.'

He said landlords going along with pre-pack administration or 'the new con trick of company voluntary arrangements' were 'clearly prejudicing the goodwill of their more valuable, successful tenants,' and called for the same deal to be offered to everybody.

He also blamed the Government door, adding that levying substantial taxes on empty properties had tempted 'landlords to accept dubious covenants at give away rents.'

Go here to read Lord Kirkham's column.