More than 8,700 chain stores closed in British High Streets, shopping centres and retail parks in the first six months of this year, research suggests. That is an average of nearly 50 outlets a day as the impact of the pandemic and changing shopping habits continue to hit many towns and city centres.
Despite some high-profile retail failures, the number of closures has fallen compared with a year earlier. City centres have suffered the worst, while retail parks are faring better. The store closure figures were collected by the Local Data Company on behalf of accountancy firm PwC.
Fashion retailers recorded the biggest decline, reflecting the collapse of Sir Philip Green's retail empire which saw his brands, including TopShop and Dorothy Perkins, disappear from the High Street. There was also a decline in car showrooms, betting shops and banks, providing yet more evidence of changing shopping behaviour and the shift to online.
Data also shows that store openings were at their lowest level for six years. Leisure dominated the growth with takeaway chains leading the way. Gail's Bakery has opened four bakeries during the pandemic, seizing the opportunity to take advantage of cheaper rents and a change in consumer behaviour.
"There are promising signs that the speed of the decline we were tracking across the worst of the pandemic is slowing," says Lucy Stainton, head of retail and strategic partnerships at the Local Data Company. However, PwC's Lisa Hooker warns that operators are far from out of the woods, particularly with the reinstatement of full business rates and the winding-down of furlough support.
