Record High Street Traffic Despite Challenges

  • 11.4% increase in footfall for June compared to May
  • Footfall down 7.8% compared to last year, but fourth consecutive month of reduction in year-on-year deficit
  • Heatwave and World Cup match affected retailers negatively
  • Non-food stores’ Q2 footfall fell by 9.6% compared to the same period last year
  • London and South East suffered a 15.3% drop in footfall
  • Real average weekly earnings rising, online retailing growth slowing down
  • CVA stores in London and South East fare better than expected

UK retailers experienced a significant increase of 11.4% in footfall during June compared to May, according to Ipsos Retail Performance report. Although footfall was down by 7.8% compared to the same period last year, it marked the fourth consecutive month of reduction in year-on-year deficit. The heatwave and England’s World Cup match against Sweden negatively impacted retailers, causing a 15.1% drop in footfall during the week commencing 24 June. Non-food stores saw a decline of 9.6% in Q2 compared to the same period last year, following an 8.5% decrease in Q1. London and the South East faced a 15.3% drop in footfall. Dr. Tim Denison, director of retail intelligence at Ipsos Retail Performance, attributed the improvement to rising real average weekly earnings, price competition, and slowing online retail growth. Despite the overall decline, CVA stores in London and the South East performed better than expected.

Factuality Level: 8
Factuality Justification: The article provides accurate information about the increase in footfall for June compared to May, cites data from Ipsos Retail Performance report, and discusses factors affecting retail performance such as real average weekly earnings, competition driving prices down, and the impact of business rate rises. It also mentions research by Savills on CVA stores. However, it could be more concise in some parts and avoids personal opinions.
Noise Level: 3
Noise Justification: The article provides relevant information about UK retailers’ footfall growth and offers some analysis on the factors affecting it. It also mentions the impact of events like the heatwave and World Cup matches. However, it could provide more in-depth insights or data to support its claims and explore the consequences for specific businesses or consumers.
Financial Relevance: Yes
Financial Markets Impacted: UK retailers
Financial Rating Justification: The article discusses the impact of various factors on footfall in UK retailers, which can affect their sales and revenue, thus it has financial relevance.
Presence Of Extreme Event: No
Nature Of Extreme Event: Other
Impact Rating Of The Extreme Event: Minor
Extreme Rating Justification: There is no extreme event mentioned in the text. The article discusses a decrease in footfall for UK retailers, but it’s not considered an extreme event as it’s within normal market fluctuations and not causing significant harm or disruption.

Reported publicly: www.retailsector.co.uk