Nearly 120,000 retail jobs were lost and 10,000 shops closed in the UK last year as the retail sector struggled with inflation and economic challenges.
The Centre for Retail Research's data revealed 119,405 job losses in high streets and shopping areas during 2023, with 10,494 shops shutting down.
While it was an improvement from the previous year's 151,641 retail job losses, experts caution that this reduction is only a slight slowing of a negative trend and “does not reflect any real strength in the sector”.
Joshua Bamfield, the CRR’s director, said: “The cost-of-living crisis, inflation and increases in interest rates have led many consumers to tighten their belts, reducing retail spend.
“Retailers themselves have suffered increasing energy and occupancy costs, staff shortages and falling demand that have made rebuilding profits after extensive store closures during the pandemic exceptionally difficult.”
Looking forward, larger retailers are poised for the most significant tax increase in 33 years, with Altus forecasting a 6.7% rise in business rates for over 43,000 premises in England.
This would amount to an extra £308.96 million in tax between 2024 and 2025.