A SHOPPING centre operator has confounded pre-Brexit “gloom and negativity” after chalking up annual profit and rental increases, bosses yesterday claimed.

Intu Properties’ officials say it “is in a strong position to mitigate the challenging environment” as demand remains strong.

They also played down fears the business’ empire could be affected by the relentless rise of online shopping, citing clothes and homeware firm Next’s expansion at its Gateshead-based MetroCentre as an example of how retailers are continuing to take mall space.

According to the company’s results, for the year to December 31, profit stood £31m better off at £203m, with net rental income increasing £13m on 12 months ago to £460m.

David Fischel, chief executive, said progress at the operator, which also runs Newcastle’s Eldon Square, had been extremely encouraging, adding Intu’s strong standing bodes well for the post-Brexit era.

He said: “These results are an endorsement of the underlying strength of the business and we recorded a robust performance, confounding external gloom and negativity in pre-Brexit UK about retail.

“We have put the business in a strong position to mitigate the continuing challenging environment and remain confident in our future.

“Retailers are continuing to invest in flagship stores in locations that deliver high footfall, and we are still seeing key retailers taking more space and investing for the long-term in our centres.”

Mr Fischel added a previously-announced £3.4bn takeover of Intu by rival Hammerson is expected to be finalised later this year.

He confirmed the enlarged group will use the Intu name in its shopping centre business.