SHUTTING UP SHOP
The rise of internet shopping continues to hit our high streets
The UK has been losing an average of more than four shops every day. A report from retail experts the Local Data Company (LDC) shows 47,636 retail and leisure units closed in Great Britain in 2016. “Leisure” units include things like cafes, restaurants, hairdressers and beauty salons.
The figures mean an average of 130.5 closed every day during the year.
At the same time, 45,986 units opened during the year, or 126.0 per day.
Overall, then, our high streets suffered a net loss of 1,650 retail and leisure units, or 4.5 per day.
It continues a long-term trend. Only one year in the last five has seen more retail and leisure units open than close.
A the same time, online shopping has been undergoing a rapid and continuous boom.
In 2008, £11.9 billion was generated by e-commerce sales in the retail industry. That nearly trebled to £34.6 billion by 2016.
A number of major retailers have either closed stores in recent months, or have announced plans to do so. Marks & Spencer recently said it would be shutting 150 of its shops. That followed the demise of ToysRUs earlier this year. In March this year the government launched the Retail Sector Council to help tackle challenges high street businesses are facing.
Retail minister Andrew Griffiths said: “The UK's retail sector is undergoing rapid structural changes with consumers increasingly favouring online shopping and rising operating costs for retailers.
“Our new collaborative Retail Sector Council will bring government and industry together to look at how best to ensure the industry adapts Graphic by KELLY LEUNG to meet the changing demands of consumers. A spokesperson from the British Retail Consortium said: "The retail industry is going through a period of significant transformation driven by technology changing how people want to shop, rising public policy costs and weak wage growth. “It's a challenging period. Retailers are adapting and it's clear that the industry will look very different in the future."