Third coronavirus lockdown too much for some non-essential retailers

Total year-on-year UK retail footfall for 2020 fell by 43.4%, according to the BRC and ShopperTrak.

December, meanwhile, was a month of two halves for physical retailers.

There was an initial recovery in footfall in the first two weeks of December as shopper counts were boosted by pent up demand from November’s coronavirus lockdown and get ahead Christmas gift buying.

Things took a turn for the worse n the second half of the month, however, due in large part to the creation of tier 4 in England and increased restrictions elsewhere in the UK.

As per government guidelines, our stores in the UK are closed. The well-being and safety of our colleagues and customers remains our top priority. We’ll let you know once our stores will be opening again. Take care, stay safe and thank you for your ongoing support 💙 pic.twitter.com/M6at28PpqA
— Primark (@Primark) January 5, 2021

Ultimately, YOY footfall decreased by 46.1% in December, a 19.3 percentage point improvement from November.

High streets and shopping centres continued to see the most substantial decline in shoppers, as their ‘non-essential’ tenants were forced to close their doors during the weeks leading up to and following Christmas.

“Now that all parts of the UK are effectively in lockdown and with social distancing measures expected to continue well into the New Year, ‘non-essential’ stores will be unable to trade their way back to recovery. A third lockdown will be one too many for some businesses,” says Helen Dickinson, Chief-Executive at British Retail Consortium.

“Rent bills continue to weigh heavily and the threat of a return to full business rates liability in April still looms.”

“The government must urgently reassure those businesses hardest hit by the pandemic that they will receive vital financial support in the form of an extension to the coronavirus business rates relief,” she concludes.