London Mayor Boris Johnson has come up with a novel way to encourage more retail entrepreneurs - make landlords provide affordable shops.

Johnson announced he is considering using so-called Section 106 powers to require a proportion of lower cost premises on new retail sites.

These powers are usually used to compel developers to pay for new infrastructure associated with their developments, such as schools, roads or street lighting.

The plan has not gone down well with the British Retail Consortium which says it was not yet clear whether this would help smaller retailers and would not, in fact, undermine existing retailers of all sizes.

Stephen Robertson, British Retail Consortium Director General said "We support small shops too, they are essential to the richness and diversity of London retailing, but the Mayor needs to think through all the implications of forcing any new obligation on developers.

"How do you define small independent retailers? Who meets the cost of subsidised rents? Will larger retailers on the site have to pay more adding to their costs, driving up other rents in the area and ultimately pushing up prices for customers? What will be the competitive impact on existing retailers nearby who are not receiving rent subsidies?

"Where small shops are struggling it's down to a string of factors including restrictive leases, upward-only rent reviews, parking charges and availability, energy costs, rates, regulations and crime.

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