Abstract

PurposeThe purpose of this paper is to present a critical evaluation of city centre regeneration via the creation of a major new shopping destination. The City of Southampton is chosen since that very process has been well documented. The research shows that this process of creating successful cities can be negative for some existing traders.Design/methodology/approachThere are two main methodologies employed. One is a quantitative analysis of changes in rateable values. This is used as a surrogate for trading impact from the new development. The other is qualitative interviews with urban officials in the city being studied.FindingsQuantitative results show that the market power of the retailer is a better explanation for rates relief than is the physical distance from the impactful new centre. Analysis of the qualitative interviews shows that the urban officials expected that there would be negative impacts for some existing traders by setting up that process of rates relief. However, the wider picture shows that the opportunities for small‐scale innovative retailers may be reducing. Further, that the style of retailing introduced does not necessarily assist the resident population with their everyday shopping.Research limitations/implicationsThough the sample of respondents for the qualitative interviews is small, it does access the key local officials. A wider issue is the poor level of quantitative data available on small shops. This limitation is also found by the 2006‐2008 Competition Commission Inquiry into the grocery sector.Practical implicationsHighly publicised success stories such as West Quay Southampton need deeper scrutiny to ensure they fit a wider ambition to deliver the environment that local residents deserve. Better data availability would assist in such analysis.Originality/valueThe paper constitutes an attempt to show how deeper scrutiny of the type the paper commends may be approached. Greater resources will be needed in order to gain fuller insights. The findings are of value to all who seek to understand the functioning of policymaking in the urban arena.

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