Six months of falling footfall shows need for Government action

Shopper numbers across the UK continued to decline in October, marking the sixth consecutive month of falling footfall and underscoring concerns about weak consumer confidence ahead of the Chancellor’s Autumn Budget later this month.

According to the latest data from the British Retail Consortium (BRC) and Sensormatic IQ, total UK footfall fell by 0.7% year-on-year in the four weeks to 1 November.
Although the rate of decline slowed from September’s 1.8% drop, it highlights the continued pressure on retailers amid high living costs and subdued spending.

High streets were the only retail category to record an annual increase, with footfall up 0.6% compared with a 2.5% fall in September.

TEMPORARY RESPITE

Retail parks saw visitor numbers down 0.5%, while shopping centres recorded a 0.9% drop, both showing marginal improvement on the previous month. Footfall increased by 0.6% in Wales but fell elsewhere, with England down 0.9%, Scotland 0.1% and Northern Ireland 0.2%.

The data suggests that while some consumers are returning to physical shopping destinations, particularly in high street locations, wider caution persists ahead of the Budget and the peak Christmas trading period. Retail analysts said a late-month lift tied to Halloween spending provided only temporary respite for many operators.

Helen Dickinson, Chief Executive of the British Retail Consortium
Helen Dickinson, British Retail Consortium

Helen Dickinson, Chief Executive of the British Retail Consortium, says: “While overall footfall fell for the sixth consecutive month, there was some good news on High Streets, which saw positive shopper traffic after a disappointing September.

“With consumer confidence remaining weak ahead of the possibility of a tax-raising Budget, many households have stayed away from shopping centres and retail parks.

“However, a Friday Halloween brought some welcome relief, delivering a late-month boost for retailers.”

SUPPORT SHOPS

And she adds: “Many retail locations have struggled to attract as many customers to their stores in recent years, buffeted by the high cost of living and poor consumer sentiment.

“It is vital the Chancellor uses the Budget to support shops – including large anchor stores – which help drive shopper traffic to high streets and surrounding businesses.

“Now is the moment for Government to deliver on their manifesto’s business rates commitment, exclude retail from the new business rates surtax and ensure a meaningful rates reduction for the industry.

“This will help to boost investment in fresh and exciting shopping destinations, better in-store experiences and encourage shoppers to visit more often.”

BRIEF TREAT
Andy Sumpter, Retail Consultant EMEA for Sensormatic
Andy Sumpter, Sensormatic

Andy Sumpter, Retail Consultant EMEA for Sensormatic, says: “Footfall across UK retail destinations fell -0.7% year-on-year in October, softening from September’s -1.8% drop but still marking a decline on last October’s -1.1%.

“High Streets saw a modest uplift of +0.6%, while Retail Parks dipped -0.5% and Shopping Centres fell -0.9%. Halloween gave retailers a brief treat, with footfall rising on the day, but overall figures suggest shoppers remain cautious.

“In response, some retailers have brought forward discounting to tempt early spend, hoping to capture demand ahead of Black Friday and the festive peak. The Autumn Statement also looms, with hopes for support to ease cost pressures.

“Inflation, though cooling, continues to weigh on sentiment, and price-conscious consumers are increasingly shopping around for value. Shoppers appear to be ‘spooked’ by ongoing economic uncertainty, delaying discretionary purchases and focusing on essentials. October’s slight improvement may hint at early seasonal activity, but retailers will be watching closely, hoping to see momentum build in November.”

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