Comment: Battle must be won to make high streets work HIGH street stores are closing at the rate of one a day, according to research from PWC and the Scottish Government has ordered an inquiry led by the architect Malcolm Fraser. It's probable that Holyrood's alarm is driven not so much by concern over ugly gap sites and struggling retailers but by the loss of income when there are fewer firms paying business rates. While the consumer is blamed for refusing to spend, the issue of closures is more complex and does not necessarily mean retailers are struggling. Consumers are spending more online than in the shops so it is inevitable that some will close. As David McCorquodale, head of retail at KPMG, says, a retailer once needed up to 250 shops to give it saturation UK coverage. Now, with an effective online operation, it would require around 60. Companies adjusting to the new shopping trends are downsizing accordingly, but it does not mean they are going out of business. However, someone or something needs to replace the income lost from those 200 fewer stores and shoppers need to be encouraged to rekindle their fondness for browsing in real shops rather than virtual ones. That will require more investment in the quality of our town centres, ensuring they are real destinations of choice. It means making more effort on the little things that matter: better car parking, less litter, cleaning and fixing filthy and broken streets and pavements, improving the overall look of shops and streetscapes and helping pedestrians and motorists to mix without confrontation. Fraser will get an opportunity to find new ways of breathing life into our town centres, but one thing is clear: make them welcoming places to visit and the shoppers will come. On merger, no news is good news says City THERE was no word yesterday on the progress of merger talks between Britvic and AG Barr, though the market assumes they are heading in the direction of a tie-up. On the evidence of Britvic's weak fourth quarter and 52-week trading update there is not much to encourage its shareholders to hold out against a merger with the maker of Irn-Bru. While the recall of Fruit Shoot didn't help the figures, there are bigger concerns over long-term performance which cannot be sustained on price rises and a squeeze on consumer spending in some categories and regions. Analysts believe that without a merger there will be no dividend, although this would allow Britvic to reduce its debt. The two managements have until 31 October to reach agreement amid speculation that some expansion plans will be scrapped in order to secure benefits from centralising production, particularly in England. Every little helps for Higgins and his bank AFTER being delayed more than once. Tesco Bank finally launched its mortgage product in August and chief executive Benny Higgins is determined to make up for lost time. He has accessed the Funding For Lending (FFL) scheme which the Treasury and Bank of England hope will get more finance into the economy. He will use it lower the rates on a range of products, notably mortgages and could prompt a new round of cut-price offers. It is also a transparent way of showing that the FFL is not simply being used to improve banks" margins.