Store openings at lowest level in seven years as online takes toll

STORE OPENINGS have fallen to their lowest level in seven years as online shopping and a slowdown in spending continue to take their toll of British high streets, figures show.

An average of 16 High Street stores closed every day last year – a total over the year of 5,855 – while an average of 11 opened each day, according to research compiled by the Local Data Company for PwC.

However bookshops are on the list of 2017 ‘risers’ despite the onslaught of digital and audiobooks, which are readily available via the likes of Amazon and Apple.

Beauty product stores, coffee shops, cafes and tearooms and ice cream parlours also bucked the trend with the highest increase in net store numbers. Lisa Hooker, inset, consumer markets leader at PwC, said 2017 had been tough for retail, particularly the second half of the year: “We saw volatility from month to month and across different sectors as wage growth failed to keep up with inflation, forcing many shoppers to think more carefully about their spending habits.” Ms Hooker said retailers were increasingly feeling the pressure from online shopping as consumers begin to feel more comfortable with its price transparency and reliability of delivery options. She said: “Digital offerings are increasingly becoming make or break in areas like fashion, but also for banks, travel agents and estate agents – all of which closed a significant number of high street outlets last year.

“The winners such as nail bars, coffee shops, bookstores and craft beer pubs, are all flourishing because they serve the needs of emerging consumer segments such as experience-seeking millennials, and offer a differentiated physical proposition that online offerings can’t compete with.”

Overall, the number of new stores opening in 2017 fell to 4,083, from 4,534 in 2016, with the second half of the year seeing substantially more closures and fewer openings than the first six months.

On the popularity of bookshops, Lucy Stainton from the Local Data Company said: “Perhaps unexpected – but then again does this suggest there is hope for more traditional retailing of physical products, if done well?”