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LONDON Oct 29 (BDNEWS): Skyrocketing rent of the spaces in Brick Lane is impeding the growth of Bangladeshis-run curry business in London, forcing their operators on the back foot, sources said.
"The rent is going abnormally high. If it's £5000 annually in other places, it is £15,000 a year here," said Mahmoud Rauf, Head of the Brick Lane Business Association.
He added: "Some of them (the business owners) are making loses. They try to survive a few months borrowing from their banks. But what will happen if the business does not pick up?"
He said the rents had recently reached too high on London East End's most famous street and some retailers had taken out hefty loans just to survive.
The word from retailers on the street renowned for its authentic and economical curry houses is that these days no one pays less than £40,000 in rent per annum, quadruple the amount paid ten years ago.
Compounding the rent hikes is the disappointing failure of sales to pick up after the July 7 bombings.
Rauf, a long time East End's accountant who does the books for many of the Brick Lane businesses, said it was a catch 22 because if retailers leave the street customers would not follow and if they stay in Brick Lane they will lose money with the hefty rents.
More than 20 curry houses are now operating their business in Brick Lane, heart of curry business in London city, said business sources. British born Bangladeshi people are running most of these curry houses.
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