There are fears for high street shops in Milton Keynes as industry experts warn that the retail industry is at the 'epicentre' of the coronavirus economic crisis.
The British Retail Consortium said the coronavirus crisis, which has resulted in deserted high streets throughout the UK, means hundreds of thousands of jobs are at risk.
Its figures showed total sales in March fell by 4.3% compared with the same month last year, the worst performance - when stripping out seasonal distortions - since the survey began in 1995.
The figures came hours after high street chains Oasis and Warehouse became the latest to fall into administration during the lockdown, following Debenhams last week.
A study of 34 non-food retailers including Dunelm, JD Sports, John Lewis and Next has found that many may not survive the pandemic sweeping the nation.
Even after government support, more than half of major non-food UK retailers will run out of cash within six months, according to the report.
The study was conducted by professional services firm Alvarez & Marsal (A&M), in partnership with Retail Economics.
It found that five out of the 34 major non-food retailers analysed already had negative cash flow at the outbreak of the pandemic.
Modelling by A&M and Retail Economics shows that a ten percent reduction in sales would have resulted in over two-thirds of major U.K. retailers falling into negative cash flow.
A&M said: 'Should the lockdown persist into the summer, working capital demands will intensify and large parts of the sector will be decimated as swathes of retailers seek additional funding in order to survive.'
Richard Fleming, Managing Director and Head of Restructuring Europe, A&M, said: 'Government measures have spared the major retail brands from immediate collapse. You could characterise this three-month period as a payment holiday. But prudent retailers are still pivoting their focus towards what cashflow they have and can expect in future. This is the essential fact base upon which turnarounds can be built.'
'The next few weeks will be critical. Retailers need to ask themselves the tough questions and take steps to address underlying operational issues while they still have the chance.'
Erin Brookes, Managing Director and Head of Retail, added: 'It has already become clear that the high street will take on a very different form once the pandemic is over.
'Weaker players will, unfortunately, cease to exist, leaving behind a smaller but more resilient sector comprising operators that acted fast.
Chancellor Rishi Sunak told reporters that not every business or household could be protected, but that a 'bounceback in growth' is expected when the crisis eases.
It came as a survey from the British Chambers of Commerce suggested around one in three British businesses has furloughed between 75% and 100% of its workforce.
It has been reported by PropertyWeek that Intu, who own part of the shopping centre in Milton Keynes, is on the brink as analysts warn it has ‘run out of options’.
Both MKFM and Pret left the shopping centre this year after being given notice to vacate ahead of the redevelopment of the site.
With the high street looking a different picture once we are through this and the stability of Intu, it's not known if there will be any changes to the planned redevelopment of the site in Milton Keynes.
