In October, UK retail footfall received a welcome boost, signaling an early start to the Christmas shopping season, according to data from retail intelligence firm Springboard. Although footfall levels have not yet returned to pre-pandemic levels, there was a noticeable improvement in October, especially in city centers. This suggests that the return to the office is gaining momentum, despite the continued absence of overseas tourists.
The largest increase in footfall was observed in Central London, with the figure moving from -32.2% in September to 22.2% below 2019 levels in October. Regional cities outside of London also saw improvements in footfall, reaching -15.7% from -19.3% in September.
Overall, footfall between 3-30 October was 13.4% lower than in 2019, showing a slight improvement compared to September’s -17.4%. However, the impact varied across different types of retail locations. High streets experienced a 15% decline in footfall compared to 2019, while shopping centers saw a 20% decline. On the other hand, retail parks performed better, with footfall only 3.1% below pre-Covid levels.
The final week of October, which coincided with the October school half-term, had a particularly positive effect on footfall. This led to a shift from an average decline of -14.3% over the first three weeks to -10.9% in the last week of the month.
Despite the improvement in footfall, the overall store vacancy rate remains high at 11.7%, showing only a marginal improvement from July’s 11.8%. This is surprising considering the availability of empty space and the usual growth of pop-up stores during the Christmas season. Diane Wehrle, Marketing & Insights Director for Springboard, attributes this to the complexities of the leasing market and the burden of business rates, which make it challenging for vacant units to be reoccupied. She emphasizes that the vacancy rate alone cannot determine the performance of bricks-and-mortar retail.
While the October footfall data brings optimism to the retail sector ahead of the Christmas season, it is evident that challenges still persist. The industry will need to navigate the ongoing changes and uncertainties in order to make the most of the upcoming festive period.
Useful links:
– BBC: UK retail footfall ‘boosts early start to Christmas shopping’
– Retail Gazette: UK retail footfall rebounces in October to start Christmas
