TOWN centre traders say an increasing number of charity shops is hitting business – and they fear the influx could turn Kendal into a ‘ghost town’.

Retailers have spoken out after two more charity shops – The Salvation Army and St John’s Hospice – opened along a 200-metre stretch of Highgate.

There are now eight charity shops in the town centre, with shopkeepers arguing that they represent unfair competition.

But charity shops have hit back, saying they are popular with local people, raise vital funds and that if they were not there outlets would remain empty.

Charity shops are charged 20 per cent of the annual business rates faced by independent shopkeepers.

“We’re in danger of losing independent retailers,” said Karin Grandal-Park, who owns Highgate gift shop Room 19.

“I’m 50 per cent down compared to this time last year and other businesses will fold in the next six months.

“Charities pay less rates and don’t have to pay staff, so they can afford to sell goods cheaper. We simply can’t compete.”

Emma Butterworth, 31, the owner of Frothimoon Bridal shop, said charity shops were taking up front line retail space but did not contribute to the local economy or attract shoppers.

“We struggle enough to get people to the south end of town without it being taken over by these chains,” she said.

Marilyn Melia has managed her Highgate store Icon Menswear for 12 years and said the number of charity stores and betting shops was ‘absolutely disgusting’.

“It’s not good for anybody and shops are closing round us.

"Tourists won’t visit here if they think this is the charity shop strip.

"If traders believe that too, this will become a ghost town.”

Kendal mayor Coun John Veevers said a concentration of charity shops on Highgate would make people think of Kendal as a ‘cheapskate town’.

“It’s better than having empty shops but only time will tell what effects these will have on trade.”

John Waddington, of Urban Legendz, moved his business to Ulverston last month after 30 years in Kendal – and said charity shops were a symptom of Kendal in decline.

“Classy shops are disappearing and the cheap and nasty are moving in,” he said.

“My Highgate store was barely breaking even for three years.

"Shoppers weren’t visiting us and when they did they were looking for cheap stuff.”

South Lakeland District Council’s Coun Graham Vincent said traders’ concerns were ‘absolutely valid’.

“It’s not in anyone’s interest for this explosion in the number of charity shops to continue – they don’t show the activity we are trying to encourage.

"We’re trying to nurture an open café culture.

“There’s an urgent need for improvements to Highgate to bring it up to scratch for our ambitious traders and we have put aside £106,000 for a future development scheme.”

However, charity shop workers defended their position and activity in the town centre.

Carolyn Curphew, of the St John’s Hospice shop, said shoppers who were being careful with money were attracted to the store.

“Having a few new charity stores in a small space will attract more people and increase footfall,” she said.

"I don’t think the traders would prefer empty shops.”

British Heart Foundation retail director Mike Lucas said stores nationwide raised over £22m last year and it was ‘imperative’ the charity received discounted rates to carry on its work.

“Ninety per cent of our goods are donated but we take pride in offering new goods to complete the customer experience.”

Oxfam’s North West retail manager Penny Walker said its outlet in Kendal was in the top ten most successful and had been part of the town for more than 10 years.

“They are successful purely because they are welcomed and embraced by the community,” she added.