Monday, August 18, 2025

Persistent Vacancies Blunt UK Retail’s Summer Footfall Gains

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BRC–Sensormatic data shows July footfall down 0.4% year-on-year as high street vacancies and fragile sentiment outweigh seasonal and event-driven lifts.

Vacancy Crisis Weighs on UK Retail Footfall in July

A second year of summer footfall decline has underscored the structural problems facing UK retail, with industry leaders warning that high vacancy rates continue to deter shoppers despite isolated improvements in July.

Helen Dickinson, chief executive of the British Retail Consortium, said the absence of a summer surge was tied to “around one in seven shops lying empty,” adding that government plans to cut business rates fall short of what is needed to revive town and city centres. “Only a substantial cut will truly benefit communities nationwide and help bring thousands of empty shops back into use,” she said. Smaller businesses depend on larger anchor stores to attract visitors, she added, warning that reforms must ensure no store faces higher costs to avoid closures or price hikes.

BRC–Sensormatic Data Shows Uneven Performance Across Formats

BRC–Sensormatic IQ data show overall UK retail footfall down 0.4 percent in July from a year earlier, an improvement from June’s 1.8 percent drop but still negative. High Street visits fell 1.7 percent, shopping centres declined 0.3 percent, and retail parks rose 1.7 percent, reversing a 1.1 percent fall in June.

Regional Winners and Losers in July 2025

The performance varied by region. Wales recorded a 0.4 percent increase, while England fell 0.3 percent, Scotland dropped 1.3 percent, and Northern Ireland saw the steepest fall at 3 percent. Manchester, Birmingham and Leeds posted localised gains, but they did not offset national declines.

Weather and Events Deliver Short-Lived Lifts

Andy Sumpter, retail consultant for EMEA at Sensormatic, pointed to temporary boosts from early-July heat and major events, including the Women’s Euros and the Oasis tour, but said they failed to generate sustained gains. “The underlying footfall trend may be improving, but this is still negative growth on negative 2024 figures — raising the question: are shoppers returning, or simply shopping around more as they try to spend less?”

Outlook: Value, Experience and Convenience Remain Key

With consumer sentiment subdued a year into a new Labour government, analysts say retailers able to combine value, experience and convenience may be best placed to convert tentative visits into lasting sales growth.