December's drop in consumer presence across UK retail venues made 2024 the second year retail foot traffic declined overall.

During the five-week period from 24 November to 28 December 2024, British Retail Consortium (BRC) and Sensormatic data reveals that across the UK in 2024, there was a 2.2% reduction in overall foot traffic compared to the previous year. 

In December alone UK foot traffic saw a decrease of 2.2% year-over-year, which was an improvement from the 4.5% decline observed in November. 

However, the shift in the calendar date of Black Friday to December in 2024, as opposed to its occurrence in November the previous year had an impact on monthly comparisons.  

While this adjustment appears to have a negative effect on November’s statistics, it provided a boost to December’s figures. However, when evaluating the quarter ending in December, the timing shift had no significant impact on the overall trend. 

In the three-month period leading up to December (often referred to as the Golden Quarter), there was a year-over-year decrease in foot traffic by 2.5%. 

In response to the data, BRC chief executive Helen Dickinson said: “A drab December which saw fewer shoppers in all locations, capped a disappointing year for UK retail footfall. This means 2024 is the second year in a row where footfall has been in decline. 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.  

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“Even the Golden Quarter, typically the peak of shopping activity, provided little relief, with footfall down over the period. While the Black Friday weekend delivered more promising results, they were overshadowed by a lacklustre festive season.” 

Foot traffic on high streets specifically experienced a 2.7% year-over-year (YoY) footfall drop in December, showing a modest recovery from the 3.7% fall recorded in November. 

Shopping Centres also saw a decrease in footfall by 3.3% YoY in December, yet this was an uptick from the sharper 6.1% reduction witnessed in November. 

Retail parks maintained a steady footfall with a 0.0% change YoY in December, which was an improvement from a 1.1% decline in November. 

When examining foot traffic on a regional basis for the same period, all four nations within the UK recorded year-on-year declines: Scotland at -1.5%, England at -2.1%, and Wales at -2.6%. Northern Ireland faced the steepest drop at -5.8%. 

Dickinson added: “Shopping habits have been changing fast and customers are increasingly looking for more experiential shopping, as well as a variety of cafes, services and things to do. Unfortunately, investment in town centres and high streets is held back by our outdated business rates system, which penalises town and city centres.  

“The government’s proposals to reform business rates may ease the burden for some retailers, but it is vital that, ultimately, no shop ends up paying more in rates than before. With retailers facing £7bn ($8.68bn) in additional costs this year from increased tax and regulations, the changes to the business rates system must be made in a way that supports retail investment and growth in the years ahead.” 

Data released by the Office of National Statistics last month revealed UK clothing store sales volumes sank in November with experts blaming the fall on unseasonable weather and warning greater pressures could see price rises or cost cuts. 

UK retailers also face the prospect of lower consumer spending in early 2025 as sentiment about the economic outlook worsens and consumer confidence has dropped by eight points to -27, according to latest data from the British Retail Consortium (BRC) and Opinium.

By Just Style