High Street Struggles Continue Amidst Net Decline of 1,234 Stores

  • Record number of store closures in the first half of 2019
  • Average of 16 stores closed per day
  • Net decline of 1,234 stores compared to 2018
  • Only 15 out of 96 sectors showed growth
  • Greater London saw the largest number of net closures
  • High profile business administrations contributed to the decline
  • Right-sizing store portfolios crucial for survival

The first half of 2019 saw a record number of store closures with an average of 16 stores shutting down daily. A total of 2,868 stores closed and 1,634 opened, leading to a net decline of 1,234 stores compared to the same period in 2018. Only 15 out of 96 sectors showed growth, with fashion retailers (-118), restaurants (-103), and estate agents (-100) experiencing the biggest declines. Greater London had the highest number of net closures but remained at the national average (-1.8%). High-profile business administrations contributed to this decline, which was caused by CVAs that reduced rents and store numbers without improving consumer proposition or cost structure.

Factuality Level: 8
Factuality Justification: The article provides accurate information about the number of store closures and openings, cites sources (LDC and PwC), and includes expert opinions on the topic.
Noise Level: 6
Noise Justification: The article provides relevant information about the high number of store closures and offers insights from experts on the situation. However, it could benefit from more analysis or context to explain why this is happening and what it means for the future of retail.
Financial Relevance: Yes
Financial Markets Impacted: Retail sector
Financial Rating Justification: The article discusses the high number of store closures and net decline in high street stores, which can impact companies within the retail industry and potentially affect financial markets through changes in stock prices and investor sentiment.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: Minor
Extreme Rating Justification: There is no extreme event mentioned in the article, and the situation described is not considered a major crisis or disaster.

Reported publicly: www.retailsector.co.uk