Theft costs retailers €500m a year

Employers' group Ibec has called on the authorities to implement “the full force of the law” against shoplifters, whom it estimates cost Irish retailers over €500 million a year.

According to a report published by Ibec group Retail Ireland, "shoplifting, cash robberies and fraud are a major and increasing problem for Irish retailers".

The survey of 33 retail companies, which have over 800 shops and employ about 67,500 people across the country, found 52 per cent of retailers have experienced an increase in crime in the last two years. Overall, 82 per cent have suffered from shoplifting at some point, while 39 per cent experienced theft of stock by employees.

Retail Ireland director Stephen Lynam said the figures show shoplifting has become more prevalent since the start of the recession. He said the activity cost retailers an estimated €380 million in 2005.

He said anecdotal evidence suggests retailers are frustrated that "proven offenders continue to come into their premises". He added that in general, gardaí take a proactive approach to shoplifting but that all parties could do more to stem the practice.

Retailers, he said, need to report every incidence of shoplifting to gardaí. At present he believes many retailers choose not to report minor thefts. He also said shops need to take measures to decrease the level of theft. Managers should lay out their shop floors appropriately to make shoplifting more difficult and shops should also place security tags on less expensive items.

According to Mr Lynam, the prevalence of shoplifting in some areas has contributed significantly to store closures. "Shops close for a number of reasons," he said, adding that "[shoplifting] would certainly be a factor in driving people out of business."

The report calls for the establishment of "local fora… involving local gardaí and retailers to allow for the sharing of intelligence and best practice in tackling retail theft on the ground".

Mr Lynam said there is evidence to suggest "that there are groups of shoplifters that would descend on a town or village and blitz it".

He added that crime accounted for 1.43 per cent of Irish retailers' inventory loss, amounting to €512 million. The country ranks 11th out of 22 countries in Europe for shoplifting. The loss to British retailers from crime is 1.37 per cent, while in Spain it is 1.4 per cent.

Mr Lynam said this cost is factored into retailers' pricing decisions, so the consumers ultimately pay for the criminal activity.