The High Street is suffering from falling numbers of shoppers after the ‘boring’ run-up to Christmas
High street retailers have been dealt another blow as the number of shoppers fell in the run-up to Christmas.
Store visits fell 2.2 percent in December from a year earlier, overcoming the disappointing performance in the so-called ‘golden quarter’, the peak period in the three months before Christmas.
According to the British Retail Consortium (BRC), the number of shoppers fell by 2.5 percent over the quarter. It comes in the wake of a report warning that the number of store closures is expected to increase by 2025.
BRC chief executive Helen Dickinson said: ‘A dull December, with fewer customers across all locations, capped off a disappointing year for the UK retail sector.
‘Habits have changed rapidly and customers are increasingly looking for more experiential shopping, as well as a variety of cafes, services and things to do.
‘Unfortunately, investment in city centers and high streets is being held back by our outdated business rates system, which puts city centers at a disadvantage.’
Trouble on High Street: Shoppers head to Oxford Street for the Boxing Day sales. Retailers reported that footfall fell 2.2% in December compared to a year earlier
Experts say consumer confidence has also been damaged by the gloomy turn the economy has taken under Labour.
Clive Black, retail analyst at Shore Capital, said: ‘The UK shopper appears cautious and is responding to a weakening macroeconomic backdrop, driven by the Chancellor’s narrative and budget.’
The BRC figures show that the number of shoppers in 2024 will have fallen by 2.2 percent compared to the previous year, a second year of decline in a row.
High streets and shopping centers were particularly hard hit as people headed to retail parks to take advantage of free parking and the variety of larger stores, the BRC said.
Dickinson added: ‘The Government’s proposals to reform business rates could ease the burden on some retailers, but it is crucial that no store ends up paying more rates than before.’
Last week, analysts Rendle Intelligence suggested that Christmas appeared to be ‘disastrous’ for retailers, with 11.4 per cent fewer customers year-on-year during the last full week before Christmas.
Even on Super Saturday – the last Saturday before Christmas Day, usually the biggest shopping day of the year – this figure was only 4.1 percent higher than the Saturday before, and only 0.9 percent higher than the same Saturday in 2023.
And a gloomy report yesterday predicted that 17,350 stores will close this year, after 13,479 closed for good by 2024.
The Center for Retail Research said 2025 will be a tougher year for retailers than 2022, when government support was withdrawn after the pandemic.
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