NEWPORT is losing the retail war and failing to attract shoppers, a shock survey reveals today.

More than 167,000 people shopped in the city last year spending £640 million.

But a report says it could attract up to 2.2million people each year because of its large catchment area.

Regeneration bosses today said the future will be brighter with the planned £200million facelift they say will transform city shopping.

But the figures compiled by GeoBusiness Solutions and property experts King Sturge show Cardiff and Swansea pull in many more potential shoppers.

With 75,308 shoppers annually, it is also claimed that Cwmbran only attracts a tenth of the shoppers it could according to the survey. But this view was rubbished by the town's shopping centre boss Gerry Hutchings.

Researchers looked at the potential number of shoppers in a catchment area defined by a number of factors including drive-time, competing attractions and distance.

John Burrows, retail project director for Newport city council and Newport Unlimited, said: "Shopping in Newport is just going to get better and better.

"In conjunction with Newport city council, we have just announced a £200 million face lift of the city that is going to transform the city as we know it over the next five years."

Erryl Health, cabinet member for development and employment, said one pleasing factor in the figures was that shoppers in Newport spend more each year than most other towns and cities.

Sheldon James, company secretary and director of Wildings, said he hoped the re-development of Newport would boost the number of shoppers.

Andrew Smith, secretary of Newport Chamber of Trade, said the potential of pulling in 2.2million shoppers a year was achievable.

He said: "I think if we got the parking right and the place looked tidy we would drag people in from Cardiff and surrounding areas.

"If we can get the infrastructure right, the city will grow."

Cwmbran shopping centre boss Gerry Hutchings called the survey's finding "rubbish" and questioned how the town could have such a low penetration rate.

"In 2004 we attracted 14.2 million shoppers, and we expect that figure to rise to about 14.7 million this year," he said.

"Footfall is increasing year-on-year by 12 per cent according to our figures, and in the week commencing July 25 we attracted 305,000 shoppers.

"We know we are attracting customers from a huge area, including Cardiff and Newport."

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