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ARA: NSW retail lease review welcomed - calls for Productivity Commission report to be released

Peak retail body, the Australian Retailers Association (ARA) today welcomed the review of the NSW Retail Leases Act but is calling for the Productivity Commission to release its report on retail leasing and for the Rudd Government to act on this issue nationally.

ARA’s Executive Director Richard Evans said that while they applaud the NSW Government’s review, the Rudd Government needs to go a step further and release the findings of the Productivity Commission’s inquiry into retail leasing – which was due back in March – and start looking for ways to attack this issue on a national level.

“We need to stop the “blame game” and start finding solutions for this over complex and over regulated part of the retail sector on a coordinated national front.
In this time of downturn in consumer spending and confidence we should be looking very hard at improving the situation for retailers – including making the issue of tenancy less problematic and limiting the number of disputes that arise.

This could be achieved by the Rudd Government acting on promises to reduce the bureaucratic red tape and heavy burden of regulation between States by nationalising laws relevant to retail tenancy,” Evans said.

“Over the years, no consensus was reached on certain issues due to the landlords being unwilling to concede any ground. These include end of lease issues, management fees, the introduction of competition changing the tenant mix, the inability of the small retailer to run a case against the might of the landlord and remedies relating to non-disclosure,” Evans said.

In a new discussion paper released this week by the NSW Government, the appointment of a “retail advocate” with the power to investigate and prosecute landlords on behalf of tenants has been canvassed.

For over 104 years, the Australian Retailers Association (ARA) has been the peak industry body in Australia's $292 billion retail sector which employs over 1.2 million people. As an incorporated employer body under the Workplace Relations Act and with a range of member services including business consulting, policy development, advocacy and education, the ARA promotes and protects over 5000 independent and national retailers throughout Australia. Visit www.retail.org.au or call 1300 368 041.

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