A return of foreign tourists is set to provide a boost for the shops and restaurants of London’s West End this Christmas.
According to business group New West End Company, collective sales across some of London’s key shopping hubs should jump marginally by 5% to £1.64 billion in the months of November and December.
“For many, time spent in the West End is what the festive season is all about,” group head Dee Corsi commented.
“It is this reputation that has enabled the West End to remain resilient, despite the ongoing cost-of-living crisis which is squeezing domestic spending and dampening consumer confidence elsewhere in the UK.”
However, given high inflation this year, the forecast growth for November and December actually represents a real-terms fall, with shop prices said to have increased by 5.2% in October, as per British Retail Consortium (BRC) data.
Nevertheless, New West End Company anticipates that a large amount of spending in high streets and markets in the area will come as foreign tourists return after the pandemic.
“We cannot afford to ignore that it is international visitors driving our recovery this winter,” Corsi added.
As a result, she called on the government to introduce a tax-free shopping scheme, aimed at enticing people back into shops and restaurants.
“Christmas is a critical trading period for businesses both in the West End and across the UK, and the reinstatement of tax-free shopping is a simple measure that would put us back on an equal footing with other festive destinations.”