The number of people visiting British shops last year fell by 2.2% in the biggest drop since 2021, industry data showed on Friday.
The data – from British Retail Consortium (BRC) – has added to signs of a broader economic slowdown.
BRC said footfall in the final quarter of the year – when Christmas spending is key for retailers’ profits – had fallen by 2.5% year-on-year after a 0.1% rise in the third quarter.
Andy Sumpter, a consultant at Sensormatic – the company that collects the data– said, “While December saw some flurries of festive footfall around a few key trading days, overall the picture was filled with much less sparkle as shopper traffic remained subdued.”
Britain’s overall economy stagnated in the third quarter of 2024 and the Bank of England has forecast a similar outturn for the final quarter of the year.
Footfall in December alone dropped by 2.2% year-on-year after a 4.5% decline in November but that improvement largely reflected Black Friday falling in the December period in 2024, the BRC said.
December 2024 data covered shop visits over the five weeks from 24 November to 28 December.
The most recent official data – for November – showed that retail sales volumes excluding fuel rose by 0.1% over the previous 12 months.
Broader Picture
The broader picture for retailers remained tough, especially for those with expensive town-centre locations, BRC chief executive Helen Dickinson said.
Dickinson said, “High streets and shopping centres were hit particularly hard throughout the year as people veered towards retail parks to take advantage of free parking and the variety of larger stores.”
Businesses have widely complained about a £25 billion increase in employment taxes announced in finance minister Rachel Reeves’ first budget on 30 October.
The BRC also restated its concern about property taxes, which weigh heavily on retailers with expensive city centre locations.
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