30 Dec 2008

Retailers expect tight times in new year

3:11 pm on 30 December 2008

The Retailers Association expects many merchants will face tight financial conditions early next year, despite a recent spike in sales.

The eftpos company Paymark reports an 8% increase in electronic transactions on Boxing Day this year compared with last year.

The Retailers Association anticipates shoppers will keep spending until sales end in mid January.

However, it says sales may be much slower in February and March, stifling cashflow at a time when most retailers need to pay two substantial tax bills.