Crisis news and archive

Shoppers are feeling the January blues

In a sobering assessment of Britain's retail landscape, the latest British Retail Consortium (BRC) opinion consumer confidence survey reveals a nuanced picture of economic anxiety. Consumer confidence has taken a significant hit, with expectations for the state of the economy plummeting to a new low of -34 in January, a marked decline from...

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Luxury industry faces headwinds: Pessimism grows amid economic pressures

After years of exceptional growth fueled by surging demand, price increases, and the dominance of megabrands, the luxury industry is facing a significant slowdown. Between 2019 and 2023, the sector achieved a 5 percent annual growth rate, driven by record profitability and strong performance in China, but by 2025, macroeconomic headwinds and...

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2024 retail woes: 170,000 jobs lost, worse predicted ahead

The UK retail sector has faced yet another challenging year, with nearly 170,000 shop workers losing their jobs in 2024, according to data published this week by the Centre for Retail Research (CRR). The organisation reported that 13,479 stores shuttered operations between January and December, culminating in 169,395 job losses. The outlook for...

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Retail braces for a rocky start to 2025

The British Retail Consortium’s latest BRC-Opinium Consumer Confidence Tracker paints a stark picture for the retail sector heading into 2025. While consumer sentiment around personal financial situations held steady at -3 in December, broader economic pessimism deepened significantly, with expectations about the state of the economy plunging to...

Retail

UK retail sales show modest growth amid summer spending

Retail sales in the UK saw a slight uptick in August, driven by summer-related purchases, according to the latest BRC-KPMG Retail Sales Monitor. Total retail sales increased by 1 percent year-on-year, outpacing the three-month average growth of 0.4% but falling short of the 12-month average of 1.2 percent. Non-food sales, which includes fashion,...

Fashion

Crisis partners with UKFT on recycling scheme

British homelessness charity Crisis is collaborating with the UK Fashion and Textile Association (UKFT) to trial a new approach to recycling in a bid to reduce clothing waste. The recycling trial forms part of the ACT project led by UKFT and is currently taking place in the charity's Peckham and Elephant & Castle stores in London until...

Retail

Primark profits under pressure due to weak pound and high inflation

Primark has seen an increase in foot traffic as its store visits returned to pre-pandemic levels, resulting in a 19 percent sales boost. However, despite this growth, the company's profits are under pressure due to a weak sterling and high inflation. Shares of Primark's parent company, AB Foods, fell 3.6 percent on Tuesday as shoppers prioritise...

Retail

UK footfall dropped in March as consumers face cost of living crisis

March delivered a sharp shock to UK retail destinations with a decline in footfall of -2.8 percent, according to data from Springboard. Where February saw an increase that bettered the same month in other years post pandemic, what came to pass was the first month on month decline in footfall in March since MRI Springboard started publishing its...

Retail

In the run-up to Christmas, cautious consumers are keeping footfall below expectations

As the UK awaits the Government’s Autumn Budget update on Thursday, the expected tax rises and spending cuts are keeping shoppers at bay. New data released by retail experts Springboard, show footfall rose by just 1.3 percent across UK retail destinations last week, despite the run-up to Christmas expected to improve trading conditions. Footfall...

RetailFeatured

Covid scars had deeper impact on UK retail than expected

The negative impact of the Covid-19 on the retail industry may have been underestimated, according to new official data. Findings from the UK’s Office for National Statistics (ONS) released on Monday indicate a shrunken economy and ongoing suffering in post-pandemic daily life for many individuals. The ONS said the revised estimates of GDP still...

RetailFeatured

Rise in living costs to cut into Christmas spending

The run-up to the holiday season is well underway, with retailers predicting a lacklustre Christmas as soaring inflation digs into consumer purse strings. While the end of the year is meant to be a bonanza for retailers and brands, companies from Adidas to Asos are cuttings their forecasts, with H&M responding to the current crisis by launching...

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Marks & Spencer to close 67 stores in bid to cut costs

British retailer Marks & Spencer will close 67 stores over the next five years as it aims to cut operational costs. In a report it also said it will attempt to fast-track the closures within three years, if possible. The closures equate to cutting 25 percent of Marks & Spencer’s full-line store portfolio in order to save 300 million pounds and...