Dixons boss: Don't worry about a double-dip

The retailer plays down recession fears - although it's not all that positive about our economic prospects...

by James Taylor
Last Updated: 19 Aug 2013
Lots of doom-mongers have been warning lately about the possibility of the UK slipping back into recession - the dreaded double-dip. So it's both refreshing and reassuring to hear a contrary view from a big retailer: John Browett, the boss of Currys and PC World owner DSG, says that he's 'not in the double-dip school', after reporting solid sales from the high street. On the other hand, he also said the company was 'not seeing the demand you'd see in a normal economy' either - so we shouldn't get too excited...
 
Browett said its like for like sales were up 6% during the 12 weeks to July 24, driven by a big jump in large-screen TV sales (thanks in no small part to the World Cup). Given that sales across the group were up just 3%, that means the UK was its main driver of growth - unexpected, given that so many of its products presumably fall into the 'discretionary purchase' bracket.

And with 3D TVs, iPads and the new Nano all expected to fly off the shelves in the coming months, he's even feeling fairly optimistic about the all-important Christmas season. Pre-festive cheer indeed.

What's more, this has convinced Browett that we're not doomed to imminent recession. And while we can’t help thinking there are a few more factors to consider before we relax in front of our 50-inch HD screen happy in the knowledge that the world’s economy is going to right itself, we’ll quite happily take on board his optimistic outlook. It makes a change, after all.

But the best news? Browett's ditching DSG's daft TLA (three letter acronym) and changing the company's name back to Dixons Retail. Quite right too - although since it's high street retail stores are now all called Currys or PC World, it's a bit confusing...

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