Kelso bakery: Is this our last Christmas on the High Street? – BBC News

An award-winning bakery in the Scottish Borders is considering closing the doors on its High Street shop amid spiralling costs.

The Dessert Diva in Kelso grew as an online business following its launch in 2013 and opened a shop in the town three years ago.

But owners Jill and Robert Scott say their sales at markets and online are propping up losses made by the shop, caused by increased energy costs and the cost of living crisis.

The Scottish Borders Chamber of Commerce said it wants local businesses to thrive – but many are struggling to survive.

Mr Scott told BBC Scotland News this could be his business’s last Christmas on the High Street – and he is worried for the future of other independent retailers in Borders towns.

“I’ve had a steady year to be honest, but since the tourists have left the town we have seen quite a decline in the footfall,” he said.

“We’re at a crossroads now. Do we take another year, take another gamble, or do we shut the shop and take a different path?”

The Dessert Diva has been named Scottish Dessert Shop of the Year at the Prestige Awards every year since it opened its shop in Kelso.

“It’s not that we don’t have a good product, because we do a lot of events and markets – my market sales have probably gone up this year – and we sell out at most events,” Mr Scott said.

“We have a lot of following, and it’s always busy, so it’s certainly not the product but for whatever reason there’s just not enough people coming through the door of the shop to cover the costs.”

Mr Scott said their overheads are double what they were when they first opened on the High Street – though at one stage they had trebled.

“So, it’s become doubly difficult, obviously,” he added.

“I can’t keep putting my prices up, because my electricity, water or whatever have gone up, as it will just scare people away.”

Lydia Divett, a finance and banking expert who is a director of the Scottish Borders Chamber of Commerce, said she was concerned at what she is hearing from local independent retailers.

“In certain towns there has been growth and a lot of businesses are going into the digital marketing side of things, but absolutely it has taken a dip, and people have to think about that as they walk through their town,” she said.

She urged people to shop locally to boost the economy and added: “We want to help our businesses survive and thrive, but for many it is just about survival at the moment.”