RETAILERS are being driven out of York's historic centre by high rents and falling tourism, it was warned today.

The claims were made by national camera chain Snappy Snaps after it was forced to close its Stonegate branch, and by shopkeepers in nearby Shambles.

Many small retailers said that while the city had enjoyed a boom in the fashion sector, they had struggled.

Mike Robertson, of Woodcarvers Of The Shambles, said: "People are coming down Shambles and seeing all the empty shops. This is a lot to do with the higher rents - these are just unreasonably high now. Everything has kept tourists away instead of assisting us. There are a lot fewer tourists now because there is nothing to attract them.

"The Shambles has completely lost its atmosphere. The only shops which can afford to trade here now are the fast food outlets.

"I'm having to start up my own website now as I think this is the only way I am going to survive."

Howard Proctor, manager of Earl Grey Tea Rooms, said: "Business is definitely down on last year and this is due to the higher rents the council keep making. I think we've made losses of ten per cent this year - and there was a 13 per cent increase in rent last year despite these falling profits.

"All the small independent stores are going to go. We are a small independent store and we cannot afford the higher rents."

In Stonegate, Snappy Snaps closed last week, after five years. Company director and co-founder Don Kennedy said: "The recent closure of our store in York has unfortunately taken place due to high property rents in York, combined with the current economic climate in general."

He said it was the chain's only branch closure in the past year, and added: "Property rent and rates are the single biggest overheads, and are sometimes not covered by the business that stores generate, and therefore our franchisees in York felt that their business could not survive any longer."

Back in Shambles, the leases for Fentons gift stores have been on the market for more than six months, without selling. Owner Jim Stouph said: "In the last six years the council has really brought rents up far, far more than inflation."

His wife, Carol, who runs the sister store further up the street, said they had also suffered from falling foreign tourist numbers.

Many shops in Shambles are council-owned, meaning rents are reviewed every three years instead of every five, resulting in significant hikes for lease-holders.

Adam Sinclair, of York Business Pride, said: "There is a trend definitely in favour of national and iconic fashion brands who are able to spread their operating costs across a large number of operations around the country."

He said a "sad trend" meant small businesses were losing out across the land, but the overall picture for York was bright.

He said: "I have noticed quite a lot of good incoming retailers, such as - in the last year - L'Occitane, Whistles, Jigsaw, New Look, Coast, Jaeger, H&M and Zara."

City of York Council leader Steve Galloway said the city was enjoying high levels of tourism, and said rents reflected the success of businesses.

He said the council's own rents were set independently, and said there were high occupancy rates in the city centre, reflecting its success.

Andrew Hedley, of property consultant Blacks, said: "The biggest selection of shops in York will always be in spring because, if anyone has a choice, they will put the property on the market in spring. People want to be in for the end of May, so they get the early benefit of the summer season."

He said the empty properties were generating a lot of interest, including from an "incredible number" of new-start businesses.

Properties on the market

Empty
* Shambles Sew and Gifts; Shambles
* Something Different; Shambles
* Collectables; Shambles
* Golden Memories of York; Newgate
* Travel Options; Patrick Pool
* Jitterbugzz; Swinegate
* Woollons Brothers; Stonegate
* The Gem Rock Shop; Stonegate
* Snappy Snaps; Stonegate

Lease for sale
* Fentons (two stores); Shambles