The North West's smaller towns and cities appear to be leading the Covid recovery - with locations like Blackburn and Birkenhead reporting sharp rises in pre-pandemic spending levels, while Manchester and Liverpool lag behind.
According to new figures analysed by insolvency and restructuring trade body R3, smaller centres led the way following the reopening of non-essential shops and hospitality venues with outdoor seating.
The offline sales figures reveal that spending increased in all locations following the easing of restrictions on April 12, and has remained above pre-pandemic levels everywhere except in Manchester and Liverpool.
Four North West centres were amongst the top ten nationally in terms of spending recovery.
In Blackburn and Birkenhead , spending was at 117% of pre-pandemic levels in the week ending April 24, while in Warrington it was at 114% and in Preston, 112% of previous levels.
Spending was also higher than pre-pandemic levels in the three other smaller centres covered by the figures. Burnley, Blackpool and Wigan all stood at between 104% and 110%
In line with patterns in recent months, Liverpool at 95% and Manchester at 73% lagged behind - although spending in both cities was at the highest level since the pre-Christmas period.
The figures from the Centre for Cities analyse the UK’s largest regional centres.
Allan Cadman, North West chair of R3 and a partner at Poppleton & Appleby, said: “These figures are welcome news and could indicate that, with further easing of restrictions starting from this week, we could be in for a ‘vaccine bounce’.
“However we are not out of the woods yet. Uncertainty remains as to when the economy can fully re-open, some consumers remain cautious and many businesses are still not operating at full capacity."
He said those that have survived could now run into cashflow problems due to the cost of re-opening, restocking and meeting increased demand, as well as facing the burden of having to repay loans and deferred tax.
He added: "We are also yet to see the full impact of the ‘Indian variant’ of Covid.
“In the months ahead, it will be critical for businesses to monitor expenses and manage cashflow carefully. Anyone who is worried about their business finances should seek professional advice as early as possible.”
