Self-taught baker Leanne Prescott has confirmed the closure of one of her Cake Corner shops in Hillside, Southport, Liverpool, after enduring what she describes as the hardest conditions for small businesses. The decision comes five years after she opened her first shop at age 20, having grown the business from an Instagram venture and an outhouse at her home.
Rising Costs Force Closure
Prescott, now 25, opened her first Cake Corner location on Liverpool Road in Hillside in 2021, followed by spots at Southport Market and Ormskirk Market. The Hillside shop, described as the place where her dreams started, will close permanently. The Ormskirk Market location is also no longer listed on her website.
In a statement on Instagram, Prescott said: "The current climate is the hardest it has ever been for small business owners like myself. I see more and more amazing independent businesses having to close their doors, which is so devastating."
Impact of Minimum Wage and Other Pressures
Prescott cited the rise in minimum wage as one of the biggest changes, noting that associated costs have almost doubled since she started. In April 2026, the minimum wage increased to £12.71 for those over 21 and £10.85 for 18-20 year olds, following changes confirmed by Chancellor Rachel Reeves in the autumn Budget. Several businesses have reported that these increases make it harder to hire younger staff and maintain required staffing levels.
Other pressures include increased shop rents, rising utility bills, fuel costs, and business rates. A significant rise in ingredient prices has also made it difficult to keep prices fair for customers while covering costs and maintaining quality.
Footfall Challenges
Prescott explained that while the shop is busy during peak times such as school run hours, it becomes quieter during the day, making consistent footfall hard to rely on. Despite the closure, she stressed that the business continues: customers can still visit Southport Market, its new Pink Trailer, and its occasion cake service.
