Struggles for UK Shopping Centres as Footfall Declines

Shopping centres in the UK are struggling to bring in customers, with footfall dropping by 4.2% in the week of 5-11 September, according to Springboard’s latest data. Shopping centres experienced the largest decline in footfall at 7.7%, followed by retail parks at 4.7%. In contrast, high streets only saw a dip of 2.2%. This decrease in footfall has widened the gap from 2019 levels, with last week’s footfall being 17.3% lower compared to the same period in 2019.

Several factors contribute to this decline in footfall, including the start of the new school term and the return of individuals who had taken holidays to work. Coastal towns saw a significant decline of over 10% compared to the previous week. However, certain areas in Central London showed a slight increase in footfall, especially around retail areas near office locations that were gradually repopulated.

Despite the overall decline, there were a few areas that experienced growth. Market towns witnessed a 2.6% increase in footfall, while Outer London saw a 3% uplift. As a result, footfall in these town types was only 15% below 2019 levels. Central London, on the other hand, saw a 34.7% decrease, and regional cities outside of the capital experienced a 21% drop.

Diane Wehrle, Insights Director at Springboard, highlighted the impact of remote working on high streets, noting that footfall decline on high streets was significantly lower compared to shopping centres and retail parks. This indicates that working from home is somewhat supporting high streets. However, Wehrle also pointed out that there are signs of employees starting to return to offices, which may affect footfall patterns in the future.

In summary, shopping centres and retail parks in the UK are facing challenges in attracting consumers, while high streets seem to be more resilient. As remote working continues to be prevalent, it remains uncertain how footfall patterns in retail destinations will evolve in the months ahead.

For additional information on the impact of remote working on footfall patterns, click here.
To explore further about the challenges faced by shopping centres, click here.

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