Birmingham apart – more West Midlands shops close than open in first half
MORE shops closed in the West Midlands than opened during the first half of the year, a new study has found.
The changing trends of the high street were illustrated by the fact coffee shops, jewellers and food takeaways now dominate the region’s towns and cities at the expense of fashion retailers, banks and financial institutions.
The data, compiled by the Local Data Company (LDC) for PwC, analysed more than 66,000 retail outlets in 500 town centres across Britain.
It found that in the first six months of 2016, 144 shops opened and 189 closed on the West Midlands high streets.
This represents a 17% decrease in the number of retailers opening and a 21% decrease in the number of retailers shutting up shop in the region compared to first half of 2015.
Some areas did buck the trend. Six centres saw positive net change in the period, with Birmingham, Bloxwich, Hereford, Leamington Spa, Newcastle-Under-Lyme and Stoke-on-Trent all experiencing more openings than closures.
The opening of Grand Central is cited as the main reason for Birmingham’s strong showing – even though the centre actually opened in autumn last year.
In contrast, Wolverhampton had the highest net reduction in the West Midlands, followed by Nuneaton, Tamworth, Burton-upon-Trent, Redditch, Shirley & Solihull, Walsall and Coventry.
Coffee Shops, jewellers, American-style restaurants, takeaway food shops and Bureaux de Change were among those growing at the fastest rate in the West Midlands during the first half of 2016.
The data also reveals that across multiple retailers in the 32 town centres analysed in the region, fashion shops, charity shops, recruitment agencies and discount stores have all been amongst the hardest hit in the first six months.
Andy Lyon, partner and retail specialist at PwC in the Midlands, said: “Consumer confidence was strong in the West Midlands in the first half of 2016 and this latest data clearly shows the positive impact of Grand Central on Birmingham. This flagship retail centre in the heart of the newly revamped New Street Station has successfully put the city on the map as a key retail destination.
“What we want to see now is a halo effect on the rest of the retail centres in the regions, especially in the run up to the key Christmas spending period. To increase footfall to their stores, it is key for retailers to ensure their in-store offering and price point is relevant for the younger demographic who are particularly high users of online channels and very price savvy.
“Our Total Retail research shows that consumers value shop assistants with a deep knowledge of the product range, the ability to check stock quickly and to see and order online ranges in store.”
