By C.J.McGinley
THE Managing Director of electrical retail group Currys confirmed yesterday (Thursday) the company plans to set up a new PC World store in Letterkenny next year. Prices are also being cut in the run-up to Christmas.
Speaking to the Donegal News, Mr Declan Roynayne, Managing Director of DSG Retail Ireland Ltd, which owns PC World and Currys, said he hoped the new store could be up and running by the end of next year employing up to ten people.
Meanwhile, the UK's largest retailer of vitamins, minerals and herbal supplements is to open on Letterkenny's Main Street in time for Christmas.
Natures Way, which is part of UK giant Holland & Barrett, has secured the former Menary's store beside the Courtyard Shopping Centre.
Letting agent, Mr Dermot Rainey said: "Holland and Barrett is a major UK multiple and their decision to open a shop here is a major boost for Letterkenny, and in particular, the Main Street area," Mr Rainey said.
The PC World store will be included on the second floor of the Currys outlet off the Neil T. Blaney Road.
"We will be applying for planning permission early in the new year and we're hopeful it will be up and running at the very latest by the end of 2010. We plan to build it above the existing Currys Store which covers
12,000 sq ft. We plan to have up to 20,000 sq ft between Currys and the PC World store when it is finished," Mr Roynane said.
The news came as Currys yesterday confirmed a new short term policy in the run up to Christmas that will see prices in their stores match those in Northern Ireland by absorbing the VAT differential. Prices for products will be the same on both sides of the border with the only difference being an exchange rate.
"Millions in VAT income is being lost to the North, thousands of shop workers are being let go in the South and once again the Government seems uninterested in addressing the problem.
"The government has been calling on shoppers to be patriotic at this time, I've never heard a retailer make the same call - what matters to shoppers is value for money and service," Mr Roynane said.
"In the face of complete Government inaction, retailers have to fight back despite the many obstacles in our way in terms of the cost of doing business here. Our border stores in places like Letterkenny, Sligo and Dundalk have suffered most because of the cross border shopping. You can draw a line from Dublin to Galway and shoppers are opting to do their trade in Northern Ireland," he said.
Mr Roynane stressed he was hopeful the new initiative will address that.
"Everyone wants to shop in the republic but can't put their hands in their pockets and do it because of the price differentials.
"With a worsening tax take and the job losses situation continuing to deteriorate, we can only hope that the Government has the vision to address the VAT differential issue in the upcoming Budget but in the meantime we're exploding the myth that everything is better value over the border. We're not letting events overtake us and that's why our new UK VAT range campaign is going to offer customers in the Republic some of the best prices available – either here or in Northern Ireland," he added.
Currys is matching Northern Ireland prices by absorbing the VAT difference (UK 15% versus Ireland 21.5%) and closely matching £/¤ currency movements.
"The Currys message to consumers is simple – save yourself a trip to the North and instead visit your local retailer for the best value," Mr Roynane said.
