High-profile failures at Wilko, Lloyds pharmacy and Paperchase contributed to a net decrease of 5,000 stores across the UK in 2023, according to new figures from PwC. The analysis, based on data from the Local Data Company, revealed that chains closed 11,530 stores while opening 9,138 new outlets, resulting in a net loss of 14 shops per day.
The 9,138 openings were the highest since 2019, largely driven by new hospitality sites such as coffee drive-throughs, bubble tea shops and fast food restaurants outside city centres. However, these gains were outweighed by closures stemming from restructuring and collapses at major retailers, some of which had been struggling for years.
Notable closures included the Wilko general store chain, Lloyds pharmacy, Paperchase stationery, Slug and Lettuce pubs, Clintons cards and fashion retailer M&Co. Despite some sites reopening under new owners or after restructuring, the figures reflect a significant net decline.
Out-of-town retail parks bucked the trend, boosted by new food outlets and the rollout of electric vehicle charging stations, resulting in a slight overall rise in sites. Meanwhile, services such as banks and betting shops have driven closures over the past decade as operations shifted online, though that trend is now slowing.
Charity shops also experienced a net closure rate of 39 in 2023, mirroring commercial operators, as they too expanded online. Looking ahead, PwC noted that 2024 could see a different picture as many underperforming chains have already undergone a 'clear out', though recent difficulties at The Body Shop and nightclub chain Pryzm suggest ongoing challenges.
