Craft retailer Lincraft puts final stitch in shopfronts<\/a><\/p>\nRetailer Lincraft will close the remainder of its shopfronts after more than 80 years of providing fabric, materials and homewares to Aussie crafters.<\/p>\n
The household savings ratio also fell to 6.2 per cent from 7.0 per cent as wages growth struggled to keep pace with the rising cost of living.<\/p>\n
Westpac senior economist Matthew Hassan said the economy was likely to slow further.<\/p>\n
“The Australian economy is showing clearer signs of a loss of momentum,” he said.<\/p>\n
“The March quarter national accounts revealed a clear softening in activity, with demand near flat outside of a pick-up in data centre-related investment.<\/p>\n
“[Westpac’s] May Leading Index shows this sluggish, below-trend growth momentum is likely to continue through the second half of 2026 and into early 2027.”<\/p>\n
Mr Hassan points out that the three interest rate hikes issued by the Reserve Bank this year are yet to fully work their way through the economy.<\/p>\n
“While the growth pulse is still not overly weak, it’s likely to take some time yet before the full negative impacts from higher interest rates and the spike in fuel costs become apparent,” he said.<\/p>\n
![\"A](\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/06\/9d745293a417925c2784c47ecbb578f1.jpeg\")
<\/p>\n
Several Australian retailers have closed their doors this year. (ABC News: Crystalyn Brown \u2014 file photo)<\/p>\n
‘Perfect storm’ hits Australian retail<\/p>\n
Analysts say Australian retail has been hit by an economic storm.<\/p>\n
“What we are seeing across the retail sector is the impact of an increasingly challenging economic time,” Queensland University of Technology professor Gary Mortomer said.<\/p>\n
“It is the perfect storm.”<\/p>\n
Dr Mortimer said increasing rental prices, interest rate hikes and broader inflationary pressures were “resulting in higher utilities bills, fuel prices and cost of living”.<\/p>\n
“As a result, Australians are more focused on paying their rent or mortgage, putting food on the table and fuel in their cars, and less focused on buying an outfit,” he said.<\/p>\n
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Dr Mortimer said discretionary retailers such as sellers of “clothing, footwear and fashion accessories” were “highly exposed to household cost pressures and emerging competition from overseas, pure-play retailers that are offering alternatives”.<\/p>\n
“June is notoriously a time where CEOs and boards are looking at their annual results, estimating losses and having to make the tough decisions \u2014 ‘Can we cut costs and survive another year, or do we pull up stumps and close?'” he said.<\/p>\n
As well as Lincraft and Barbeques Galore, Mosaic Brands, Ally Fashion and Fletcher Jones have collapsed in recent months.<\/p>\n","protected":false},"excerpt":{"rendered":"Australian fashion retailer Glue Store has announced its permanent closure. Earlier this year the company posted an $8.4…\n","protected":false},"author":2,"featured_media":741686,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[357624,253602,357620,357621,43,357622,357625,44,41,39,42,40,357623],"class_list":["post-741685","post","type-post","status-publish","format-standard","has-post-thumbnail","category-headlines","tag-barbecues-galore","tag-glue-store","tag-glue-store-closed","tag-has-the-glue-store-shut","tag-headlines","tag-is-the-glue-store-closed-permanently","tag-lincrafts","tag-news","tag-top-news","tag-top-stories","tag-topnews","tag-topstories","tag-what-happened-to-the-glue-store"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/741685","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=741685"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/741685\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/741686"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=741685"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=741685"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=741685"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}