Further fatalities from the world of Independent Retailing.
With regret and sadness, I see that Peglers of Arundel have been forced to close their Outdoor Shops by a Bankruptcy Petition by Her Majesty’s Revenue & Customs.
Since the Tories and Liberal Democrats have come into power, I must say HMRC have been anything but supportive of independent businesses. Periods of grace that were previously offered under the Labour government were swiftly revoked as the Tories and Lib Dems clambered to increase tax receipts.
Postponing or deferring VAT payments is one way that struggling independents have weathered the ongoing economic storm. When HMRC, acting on the instruction of Chancellor George Osborne, removed this facility, it has had a catastrophic impact on many independent retailers.
When in 2006, I set off to ride from Land’s End to John O Groats on a traditional, 3-speed Dutch bike, it was Peglers I visited to source my gear including sleeping bag, stove, foods and maps as well as lots of useful and helpful advice which made passage planning all that more easy.
Later, I bought a number of Kayaks, live jackets and paddles from them and again their advice and help was first class.
A family business, Peglers was known not only for the quirky names of its Arundel based shops – Peglers Below the Knee, Peglers on the Hill, Peglers Round the Bend – but for being an independent outdoor shop run by outdoor enthusiast who lived and breathed the products they stocked and sold.
Originally, the ‘shop’ was set up in the families front room where they sold sleeping bags, climbing boots and tents from the lounge floor – they quickly established a reputation for stocking quality out door products and their business quickly grew.
In Littlehampton, Peglers was the first and only name amongst the youth looking to source kit for the Duke of Edinburgh Award. Many of these ‘youths’ will now have their own children, and I’m sure will remember with nostalgic fondness visiting Peglers Below the Knee, to try on a range of boots eager and anxious embarking on their first outdoor expedition.
You just don’t get that sort of buzz drop-click shopping on the Internet.
A notice posted on the Climbing Forum and a similar Notice in their window announced the sad news:
Peglers has been forced to cease trading by a petition to bankruptcy by the crown / HMRC effective 10/05/2013.
The Partners have asked us to post this as a means of contacting the climbing community they’ve been part of for the last 25 years.
We are sorry to be gone, pleased to have made many friends across the shop counter and to have climbed with some of you on both rock and ice over the last 30 Peglers Ice Fests.
For anyone that has goods paid for but not delivered please reclaim the money through your card provider or if that is not possible please write to :
Peglers Mountain Shop
69 Tarrant Street
Thank you and take care.
Dave and Richard
This week we learnt that the retailing giant AMAZON has received in excess of £2.5million in subsidies from the UK taxpayer – in fact it’s subsidies exceeds what it pays in corporation tax despite exceeding £7 billion in sales in the UK alone.
Yet, it’s not Amazon that HMRC (aka the Taxman) is going after, but a small, quality independent retail store in Arundel.
In our business, The Dutch Bike Shop – we have paid more tax as a small bicycle shop based in Littlehampton that StarBucks in the UK.
Starbucks with an a turnover of £400million paid no Corporation Tax.
While we, a small independent bicycle shop in Pier Road, Littlehampton paid corporation tax on a small profit generated by a turnover of less than £250,000.
Let me say that again.
A small bicycle shop in Littlehampton with an annual turnover of less than £250,000 pays Corporation Tax on the profit we make.
Starbucks with an annual Turnover of £400 million – pays no Corporation Tax as it claims it cannot make a profit on these figures.
A small bicycle shop in a town of 16,000 people pays more in Corporation Tax than Starbucks do in the United Kingdom.
Amazon with an annual Turnover of £7 billion gets £2.5 million in Government subsidies.
Peglers a local independent business gets forced into Bankruptcy by the Tax man.
Over the years, the contribution by Peglers to the exchequer both in business rates on the 3 High Street shops they leased, together with the National Insurance contributions they made on their staff – not mentioning the number of people who Peglers employed, all adds up to a substantial contribution to the well-being of the local and National economy.
Something is very wrong.
This county is now run by supermarkets, bean counters and bureaucrats.
I wish Dave and Richard all the very best in working things out and hopefully securing the bright future they deserve.
From us all in the independent retailing world, good luck and thanks.