Figures released by the Royal Institute of Chartered Surveyors (RICS) Commercial Property Survey have revealed 30 per cent of chartered surveyors in the town reported a drop in demand during the past three months, compared with 15 per cen
t in the previous quarter.
As the number of empty shops in the town centre reaches at least 14, East Midlands chartered surveyor Andy Hey said the credit crunch was having an effect on customers looking for retail space.
He said: "The great pity in all of this is the lemming-like rush away by the lending banks that have currently turned into the non-lending banks.
"The business sector unfortunately relies on the banks and the latter are disappointing a lot of customers just now.
"It's difficult to forecast improvement until the banks actually settle their nerves and welcome their customers back.
"We believe there is business to be done and people are not as nervous as the survey suggests. It is simply the inability to obtain loans on reasonable terms that has brought us to this position."
The RICS survey suggests confidence in the business and commercial rental market has dropped at its fastest rate in a decade, and 35 per cent of surveyors noted a drop in demand for office space in Northampton.
RICS chief economist Simon Rubinsohn said: "The drop in tenant demand is a particularly worrying development.
"This raises the possibility that rental growth will continue to weaken as the level of inducements are raised in a bid to keep property occupied."
The full article contains 291 words and appears in Northampton Chron & Echo newspaper.
