Cake Corner, a popular Southport bakery, has announced the closure of its Hillside shop after five years, with owner Leanne Prescott describing the current climate as "the hardest it has ever been" for small business owners.
Owner Cites Multiple Financial Pressures
In a lengthy Instagram statement, Prescott explained that rising minimum wage, rent, utility costs, and ingredient prices have made the permanent shop space unsustainable. She noted that minimum wage has "almost doubled" since the business started, significantly impacting running costs. Rent has continued to rise year on year, and new laws and regulations have pushed the landlord to sell the property.
Prescott stated: "Every single cake we sell has had at least three members of staff involved to create it." She added that to cover rising expenses, prices would need to increase substantially, which would seem "unreasonable" to customers.
Competition from 'Cake Sheds' and Trends
The bakery also faced increased competition from so-called 'cake sheds'—home-based bakers with fewer overheads—who can sell at lower prices. Prescott said the shop was busy at peak times like school run hours but struggled with consistent footfall during quieter periods. Efforts to boost trade with trends like Dubai Chocolate proved short-lived.
Business Continues at Southport Market
Despite the closure, Cake Corner will continue operating at Southport Market, through its new Pink Trailer, and via its occasion cake service. Prescott described the Hillside shop as "the place where our dreams all started" and thanked customers for their support. A closing party will be held at the shop, with an official closing date to be announced soon.
Prescott, a self-taught baker, opened her first shop at age 20 in Hillside on Liverpool Road, later expanding to Southport Market and Ormskirk Market. The Ormskirk location is no longer listed on the brand's website.
