The number of retail company administrations fell by 57% in the first six months of this year compared to the same period in 2009.

There were 81 retail administrations in the half, versus 187 in the comparable period of last year, research from business adviser Deloitte showed.

Deloitte reorganisation services partner Lee Manning said: “Retailers have experienced a more buoyant six months following the high number of retail administrations we saw in 2008 and 2009.

“Clearly the economic situation will remain challenging and while increased VAT in the new year won’t have a material impact on the prices of most products, this won’t help consumer confidence either.

“To date retailers have been positive, responding well to the changing environment, managing their cashflows and stock levels appropriately as well as having successful discussions with landlords over spreading the burden of rent and service charges.

“I expect this level of engagement to continue, with CVAs and informal arrangements with creditors being used as a constructive alternative to administration.”

Total administrations were down by 43% to the lowest level in four years.