Figures show that businesses suffered the greatest recessionary impact in 2009, although towards the end of that year occupancy had started to improve as 'poor performers' exited the market.
Speaking at a conference in London to launch the survey, economist Philip Blackburn said, 'While closures peaked in 2009, expansion in children's centres and other areas balanced this out. Further gradual supply contraction is expected, but occupancy is set for gradual improvement over the next five years.'
Mr Blackburn concluded that overall, the impact of the recession had been quite 'mild'.
'Cautious, small-scale expansion is anticipated, but the threat of closures is still high,' he said. 'There is a question mark over whether the funding for the free entitlement can match cost pressures, but staffing remains the biggest challenge.'
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