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Removal firms ride the storm

27 August 2008

Removal firms are surviving the downturn in the housing market despite the domestic removal market being 40% down on last year, the British Association of Removers (BAR) claims. Paul Swindon, marketing and communications manager for BAR, tells MT: "It's true to say times are tough, but it's a misconception that removal firms are going under left, right and centre.

"We've lost very few members as a direct result of the credit crunch." According to Swindon, removal firms are sustaining themselves  through other services, such as self storage, sales of packaging material, and commercial and overseas moves.

However, Robert Bartup, managing director of removal firm GB Liners, feels the sector isn't faring as well as BAR claims. "We have been lucky and not had to lay any staff off, but I think you'll find most of the industry has made redundancies. A lot have also gone, either through entering administration, or just closing their doors." GB Liners runs a fleet of 90 vehicles and although it hasn't made any redundancies, it hasn't been replacing staff when they leave. "Both our level of staff and level of sales are 85% what they were last year," says Bartup.

Asked how long he thinks the downturn in the housing market will last, Bartup says: "We believe it's still sliding due to the low level of enquiries we're receiving. There could definitely be some consolidation in our sector over the next three to six months." However, Swindon adds: "The domestic removal  industry has been hit, but in terms of the professional removal market, it's still ticking over and there is business out there. We believe things are starting to turn the corner."


Laura Hailstone
Email at laura.hailstone@rbi.co.uk
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