UK store closures at record levels

A record number of UK shops shut their doors during the first half of 2020 as the coronavirus lockdown hit retailers hard, research from the Local Data Company and PwC shows.

A total of 11,120 chain operator outlets closed between January and August, research from the Local Data Company and accountancy firm PwC revealed.

5,119 shops opened, leaving a net decline of 6,001 stores, almost double the drop during the same period last year.

Lisa Hooker, Consumer Markets Leader at PwC, says: "We know that the pandemic will continue to impact the way we work, rest and play; however, in terms of how we shop, this isn't new. What we have seen is an acceleration of existing changes in shopping behaviours alongside forced experimentation from Covid-19 restrictions.”

"We all knew that consumers were shifting to shopping online or changing their priorities in terms of the things they buy, but what Covid-19 has done is create a step change in these underlying trends to where they have now become the new normal."

On the plus side, there has been a resurgence of interest in local high streets due to an increase in Brits working from home.

There has also been a steady flow of openings, with the continued roll-out of value retailers, the boom in takeaways and pizza delivery shops and demand for services that can still only be delivered locally such as tradesmen outlets, building products or locksmiths.

“Despite the stark numbers there remains a future for physical stores. We all still want and need to physically visit shops and leisure operators, it’s likely then that whatever happens retail will come out of this smaller but stronger,” Hooker concludes.