The August retail footfall decline across the UK came in at 1.7% year on year, as cooler weather drew shoppers back out after a scorching July, according to data published by the British Retail Consortium (BRC) and Sensormatic.
The BRC is the trade body representing UK retailers. Footfall data measures the number of visits made to retail locations, giving a broad picture of shopping activity on the ground rather than just online or till-based sales.
July’s footfall had fallen by 3.8% year on year as many shoppers stayed home during the heatwave. August’s 1.7% fall is an improvement, though the overall trend remains negative.
August retail footfall decline by location and nation
The picture varied considerably depending on where shoppers were heading. High street footfall was down 3.1% year on year in August, better than July’s 3.8% drop but still a notable drag on the overall figures. Shopping centre visits were down 0.5% year on year. Retail parks were the one bright spot, recording a 1% increase in visits.
The regional breakdown also showed clear differences. Footfall fell by 2.1% in England, by 1.3% in Wales, and by just 0.1% in Scotland. Northern Ireland bucked the trend entirely, posting a 2.8% increase.
BRC chief executive Helen Dickinson said: ‘Footfall improved on the previous month, though still down on last year. The cooler temperatures played a key role, bringing shoppers back after a scorching July to stock up on essentials and back-to-school items. Retail parks were the standout performers but the overall picture shows high streets face an uphill battle.’
Rising prices add pressure as retailers eye the Budget
The footfall figures arrive alongside separate data showing that shop-price inflation rose to 1.5% year on year in August, up from 0.9% in July and its highest level in more than two years, according to Yahoo Finance. Food inflation climbed to 2.8% over the same period. Both figures point to households facing higher prices at the checkout even as they return to the shops in greater numbers than in July.
At the same time, overall retail sales growth is losing momentum. Total UK retail sales grew by an annual 0.7% in August, slowing from 1.3% in July, while like-for-like growth, which strips out new store openings, eased to 0.5% from 1%, according to Reuters. That puts August’s sales performance at its weakest in four months.
Andy Sumpter, from Sensormatic, said: ‘August delivered a modest improvement for UK retail footfall, with total visits down 1.7% year-on-year. While still firmly in negative territory, this marks a welcome improvement on both July and June, suggesting the pace of decline may be beginning to ease. However, it is worth remembering that this remains negative growth against last year’s already modest performance, underlining the continued pressure facing retailers.’
Helen Dickinson used the data to press for government action ahead of the Budget, scheduled for 28 October. She said: ‘Retailers don’t need warm words, they need lower costs. With his first Budget weeks away, Chancellor Healey has a chance to throw Britain’s high streets a lifeline. Retail faces cost pressures and households are watching every penny.’
Dickinson pointed specifically to business rates and energy costs as areas where government intervention could make a difference, arguing that action on both fronts ‘would help keep prices down, support investment, and sustain the jobs and communities that retail underpins across the country.’
Business rates are the property-based tax that bricks-and-mortar retailers pay on their premises, a charge that digital-only competitors do not face in the same way. The BRC has long called for reform of the system, arguing it places an unfair burden on physical shops at a time when online shopping continues to compete for consumer spending.
With the Budget on 28 October now confirmed as the next major government decision point, retailers and their trade bodies will be watching closely to see whether Chancellor Healey addresses those cost pressures directly.
