Essential reading for retailers and suppliers in the home improvement market

UK multiples closing 20 stores a day

Published: 14 July 2011
Britain's multiple retailers have closed 20 stores a day on average between January and the end of May this year, says new research from the Local Data Company.
UK multiples closing 20 stores a day
The data, compiled on behalf of PwC, revealed that across multiple retailers in 300 town centres, clothes shops, shoe shops and jewellers have been amongst the hardest hit this year, while supermarkets, convenience stores and cafes have bucked the trend, showing growth in the first half of 2011.

In regional terms, Scotland was the worst off, with (net) 30 closures during the period, while the South West saw the strongest performance, with a net total of 48 store openings.

Meanwhile, PwC's latest retail insolvency statistics for Q2, 2011, also revealed there were 375 retail insolvencies this quarter, 9% more than in the same period last year.

The research indicates that financially troubled retailers have closed, or plan to close, half their store portfolios on average since the start of the recession, as the high street has come under increased pressure.

PwC retail specialist Mike Jervis said: "Retailers will continue to struggle for the next six months and we will see high levels of financial distress among certain types of retailers such as clothes shops. The combination of rising inflation and dented consumer confidence has led to people increasingly trying to find the best deal online. This has made life difficult for store-dependent high street retailers who have seen a drop in sales and reduced footfall."

A previous PwC survey of 1,000 consumers revealed that internet shopping has become far more routine, with 14% of people now buying on the web more than once a week, compared to just 4% in 2007.

Nearly one in five respondents said they are spending more than half their disposable income online.

The British Retail Consortium responded to the Local Data Company figures, saying the rate of retail closures demonstrates the need for practical steps to protect and promote our high streets.

BRC director general Stephen Robertson said: "A proactive approach to managing our town centres would benefit customers, communities, retailers and other businesses. Priorities should include keeping business rates down, deterring crime and having good, affordable parking and public transport.

"It's encouraging that not all regions are seeing a fall in retail premises; some have seen a net gain thanks to new stores opening. The priority must be protecting that growth and helping it spread to all parts of the country, boosting town centres and creating jobs."

Comments


(Your email address will not be published)
6 + 5 =  
Already Registered?
Sign In
Not Yet Registered?
Register
Printable View E-mail Bookmark
*

Latest reader comments

re: Latest update on Green Homes Grant and implications for homeowners and landlords

John Hart
After applying for a green homes how long will it take for a decision? thanks...

re: SX Rainproof Exterior Caulk

Wally
I need the exterior sx rain resistant caulk! Can't get it anywhere so please help! How can I order it? Need it yesterday...

re: BCT can replicate any material in a ceramic tile

Christina Tiritanou
Not sure if you can help as I require a tile which has the measurements of 6”x 6”? Thank you....

re: Latest update on Green Homes Grant and implications for homeowners and landlords

colin thompson
SarahVery clear and helpful information.Thanks...

Most read stories