The British retail sector is grappling with a significant decline in shopper footfall, as evidenced by a 2.2% drop in 2024, marking the second consecutive year of decreasing numbers. This trend has been notably highlighted in a recent analysis conducted by the British Retail Consortium (BRC) using data from Sensormatic. The year concluded with what many retailers described as a "drab December," prompting store owners to adopt creative strategies to entice customers back into their shops.
The landscape of retail in Barrow has seen an array of initiatives aimed at boosting foot traffic. The Business Improvement District (BID) has organized events such as a soapbox derby, an autumn festival, and a "dino day" to engage the community and draw shoppers. Local business owners are also innovating to enhance the shopping experience. For instance, Tom Rowley, owner of Backstory Bookshop, is offering complimentary drinks to customers in an effort to create a more inviting atmosphere.
In light of the challenges, Helen Dickinson, BRC chief executive, expressed concern regarding the footfall decline, labeling it an "ongoing challenge" for the area. Similarly, Jenny Fazackerley, owner of Jenny Stitches, echoed this sentiment, noting that the situation remains a continual hurdle for local businesses.
The retail downturn is compounded by broader economic pressures. Catherine Shuttleworth, chief executive of Savvy Marketing, noted that “people are just being a lot more cautious about their spending.” This caution is reflected in the figures for the last three months of 2024, which showed a 2.5% decrease compared to the same period in the previous year.
Furthermore, the government’s decision to raise employer national insurance contributions has drawn criticism from Dickinson and other industry leaders, who argue that it adds unnecessary strain on businesses already facing challenges. In response to these concerns, the Treasury announced a 40% business rates relief for next year and committed to cutting rates "permanently" from 2026.
Retailers are attempting various strategies to revive interest and foot traffic. Leanne Fridd, owner of Bookbugs and Dragon Tales, described her efforts to attract shoppers: "a Santa's grotto, and authors, and all sorts of other things to try and entice people in." She admitted, however, that “we are really feeling it on the bottom line,” highlighting the financial strain faced by many shops.
As businesses look toward the future, there is cautious optimism among some experts. Russ Mould, investment director at AJ Bell, suggested that conditions could improve if inflation and interest rates decline while the economy stabilizes. However, until then, many small retailers continue to struggle against the tide of online shopping trends, with Rowley lamenting that “sadly, you don’t get that through online shopping.”