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Job losses as major Perth store gets ready to close

The Original Factory Shop in Crieff Road, Perth
The Original Factory Shop in Crieff Road, Perth

A major discount store in Perth will close its doors next month, bosses have confirmed.

The Original Factory Shop on Crieff Road is being shut as part of a nationwide programme of closures.

The retail chain has blamed poor trading conditions for the decision to shut up 32 of its stores.

Nine people work at the Perth branch. It is understood there has already been interest from developers to turn the site into housing.

The announcement has sparked calls for a change in attitude to the city’s retail sector.

A spokeswoman for the Burnley-based chain said: “While this is a tough measure, reflective of the broader retail environment, it is good news that The Original Factory Shop will be in pole position to push ahead with their new ‘journey to growth’ strategy.”

It follows a recent study which showed a dramatic retail slump in Perth.

Data released by the Scottish Retail Consortium show in the last three years 195 shops have shut in Perth, with only 176 opening. Dundee fared better with 200 closures and 205 launches in the same period.

Only Edinburgh, Glasgow and Paisley saw an increase in store numbers, amid warnings by the consortium that the rate of closures across Scotland could double by 2021.

Perth was second-worst hit, with Ayr losing 239 stores while gaining 193.

Conservative councillor for Perth City North Harry Coates said: “This is sad news and my sympathies are with the workers who will lose their jobs.

“We need to be doing more to attract more employment to the area and soak up these job losses,” he said.

“The trouble for the retail sector is that we have become a nation of online shoppers. Not everyone of course, but the majority of people will now buy things using the internet because it can be more convenient.

“I think we should be taking a more relaxed approach to what can and can’t be sold in our shops. That might encourage more businesses to come into the area.”

SNP councillor John Rebbeck added: “This is disappointing for the staff involved who are losing their livelihoods.

“It does however underline the changing nature of retail in the face of e-commerce and emphasises the need to make our city centre and other commercial areas as varied as possible with a good mixture of a shops, eating and drinking venues and cultural attractions.”