Retailers hope for a happy Christmas

Retailers are keeping their fingers crossed for a good shopping season as the recession continues to push consumers to exercise caution.

There is little sign of Christmas shopping yet but retailers hope that today's public holiday, when outlets in the main centres will be open, will serve as the usual spark for the traditional spending spree.

Many shop owners have pinned their hopes on consumers shedding some of their reluctance to spend as the Christmas cheer sets in. But in the light of the uncertainty caused by the still-to-be-announced increase in the utility tariffs, pessimism prevails.

"The way business fares on Tuesday (today) will be an indication of what retailers are to expect of this year's shopping season," Chamber for Small and Medium Enterprises director general Vince Farrugia said.

But he does not expect business to improve much over last year's Christmas season because recessionary times are not yet over.

To make matters worse, he said, not only were people being cautious with their disposable income but the government had just done a "bad PR exercise" related to the new water and electricity rates.

"This exercise will be used by PR schools to show students how not to do things," he said.

"We are still expecting people to spend but they will probably spend less because, if we just take the utility tariffs, we do not know what is coming our way."

Mr Farrugia urged businesses to be creative and organise something special to attract shoppers. This, he thinks, would do the trick.

The chamber, he added, was pleased with the opening of the revamped St George's Square and the week of activities there would attract more people to Valletta.

The chamber was also working on securing two days of free bus rides and the suspension of the controlled access to Valletta for a couple of days prior to Christmas.

Sliema shop owners say business so far is slow, as it has been for several months, but they too are hoping it will pick up starting from today.