Retail Apocalypse Continues

  • 18,000 more retail stores could permanently close in 2020 due to Covid-19
  • LDC predicts 15,000 outlets left empty compared to 9,169 in 2019
  • Net decline of 6,001 shops this year, almost double last year’s decline
  • UK entering four-week lockdown on November 5th

A report by the Local Data Company (LDC) reveals that nearly 15,000 more outlets will be left empty in 2020 compared to 9,169 net closures in 2019. This follows a report from last month showing 11,120 chain operator outlets closed and only 5,119 opened, creating a net decline of 6,001 – almost double the previous year’s decline. Lucy Stainton, head of retail at LDC, said, ‘The latest figures on the GB retail and leisure market tell the story of an immensely challenging few months for the retail and hospitality sector.’ With 20% still temporarily shut and more difficult trading conditions ahead, the UK is set to enter a four-week lockdown on November 5th prohibiting non-essential retailers from operating.

Factuality Level: 8
Factuality Justification: The article provides accurate information about the impact of Covid-19 on UK high street retail stores based on a report by the Local Data Company. It includes relevant data and quotes from an expert in the field. However, it could be improved by providing more context or background information about the company’s methodology for collecting this data.
Noise Level: 3
Noise Justification: The article provides relevant information about the impact of Covid-19 restrictions on UK high street retail stores but lacks in-depth analysis or actionable insights. It mainly reports on the numbers without exploring long-term trends or possibilities.
Financial Relevance: Yes
Financial Markets Impacted: Retail sector in the UK
Financial Rating Justification: The article discusses the closure of retail stores due to Covid-19 restrictions, which can impact the financial performance of companies and the overall economy.
Presence Of Extreme Event: No
Nature Of Extreme Event: Other
Impact Rating Of The Extreme Event: Moderate
Extreme Rating Justification: While the situation is severe for the retail sector, it does not qualify as an extreme event in terms of deaths or injuries. The impact is mainly economic and related to the pandemic.

Reported publicly: www.retailsector.co.uk