City centres are still visibly showing the effects of the recession as the number of empty high street shops climbed once again.
Figures from the latest Royal Institution of Chartered Surveyors (RICS) commercial market survey revealed a clear rise in the number of vacant Westcountry premises this year, with more business experts (17%) claiming the amount of unoccupied stores had gone up rather than down. It also suggested little sign for future optimism with no improvement in the number of businesses looking to open new premises in centres across the region.
Meanwhile, expectations of future rents continued to slip with a growing number of surveyors claiming retail premises were losing value.
Nick Holman, RICS South West commercial spokesman, said: "It was inevitable that the retail high street would continue to suffer. Secondary retail pitches, away from the market towns, are really struggling.
"There is however a glimmering bright-side to the market with a continuing increase in enquiry levels and better conversion rates to completed deals in the industrial and office sectors. We are also seeing transactions completing more quickly than 12 months ago, providing another sign of increasing confidence"
Exeter continues to buck the economic trend with multi-million pound investment projects alongside a growing confidence in its ability to stand firm during tough times. It has one of the lowest retail vacancy rates in the country with just a 1.3% increase during the recession compared to Truro rise of 11.1% and Plymouth's increase of 10.5%.
Derek Phillips, vice-president of Exeter Chamber of Commerce, said: "Exeter has been quite extraordinary with one of the lowest number of vacant premises in the country. Although we haven't been totally immune, we haven't experienced problems that have been seen in other parts of the region.
"Thanks in part to Princesshay creating a new type of retailing and the right atmosphere for shopping, our high street is vibrant and thriving, and definitely not dead. It's sending out a strong message to other parts of the region."
Other areas of the commercial property market in the South West – such as office and industrial space – had seen demand for premises improve slightly with no major increases in empty floor space, according to the survey.
David Parlby, CEO of Plymouth Chamber of Commerce, said: "The retail sector on the high street faces various challenges from online and out-of-town shopping. And clearly people are struggling to have access to disposable income during these sluggish economic times.
"The big challenge for the retail sector will be in the next Christmas period during which large amounts of trade will be needed. There could be significant fall-out in the first few months of 2014, if businesses struggle again."