IN A week of mixed blessings on the job front, business leaders are urging people to 'shop local' in a bid to safeguard West Somerset's economy in the current economic crisis.
And Graham Sizer, the chairman of Minehead Chamber of Trade, said the recession was now really beginning to bite in West Somerset.
He said although there was a lot of loyalty buying by local residents, wealthier retirees who relied on higher interest rates for their day-to-day income were having to cut back on their spending.
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"This is just beginning to filter through and February has, for most, not proved good," he said.
"The downward trend is continuing in March.
"As a request for help is going out to Government bodies to review the steep increase in business rates that are expected both this year and next, a further plea goes out to local people to buy local.
"With every pound spent in a local independent store, 70 pence of it stays local and gets recirculated many times."
He said Minehead's High Street was currently offering "amazing deals", many of which worked out far cheaper for shoppers than those being offered in larger supermarkets.
He also welcomed the imminent opening of the town's latest new store, Iceland, and said he hoped it would help to increase the "footfall" of shoppers in the centre of the town.
The company has acquired the former Woolworth site and is planning to open its first store in the town before the beginning of May.
A spokesman was unable to confirm how many jobs would be created, but the store is currently looking to employ retail supervisors, retail assistants, home delivery drivers and cleaners.
In an advertisement in this week's Free Press, the company promised "exciting new careers".
It said: "It's just one of over 70 new stores we're opening around the UK, so if you're looking for job security you won't have to look far."
Mr Sizer said he was expecting more tourists to visit West Somerset this summer and he said it was vital local businesses were prepared.
"We must all tidy up our cosmetic appearance and work very hard to win a return visit," he said.
"I am sending a message to all traders to pull their socks up.
"We must make every holidaymaker welcome into our establishments this summer."
But the economic downturn has already forced Wansbrough Paper Mill to review its employment structure.
Bosses at the St Regis-owned complex - part of London-based holding enterprise D S Smith - began a 30-day consultation with 25 staff after confirming they were looking to make five voluntary redundancies.
General manager Craig Nicol said although no more jobs were under threat at this stage, it was impossible in the current climate for any manufacturing industry to say with certainty what its future levels of employment would be.
The recession has had a significant impact on all markets for the mill's products, which include boxes, recycled envelope paper, brown bag paper and cardboard used largely for the centre tubes of toilet and kitchen rolls and similar products.
With 95 per cent of its customer base in the UK, the commodity side of the business, in particular packaging, has been most affected.
Mr Nicol said although the decline in business had been felt across the board, the job losses were targeted in the coiling department, where it was felt efficiencies could be made.
The mill currently employs 170 staff and the job losses are expected to take effect at the end of April.
"We recognise the impact that any redundancies have on the local community and we are committed to offering as much support as possible to our employees," said Mr Nicol.
Cllr Tony Knight, who represents Watchet on West Somerset Council, said the redundancies were a blow.
"The present economic climate is very worrying to everyone," he said.
"Any job losses are of great concern to the community and all we can do is hold on and hope for better times."