Fuel shortage puts a damper on footfall recovery

Retail footfall has seen a 1.2 percentage point increase in September from August, but decreased by 16.8 per cent when compared with 2019, the latest data has shown.

According to BRC-Sensormatic IQ figures, footfall on high streets declined by 22.6 per cent in September (Yo2Y), 2.2 percentage points above last month’s rate. Shopping centre footfall declined by 35.6 per cent (Yo2Y), 2.7 percentage points below last month’s rate.

Meanwhile, retail parks continued to perform better than other shopping destinations, with access to larger stores, parking, and petrol stations. They saw no change from last month’s rate, with footfall decreasing by only 1.6 per cent (Yo2Y).

“While footfall at the start of September was strong, it slowed over the course of the month as increasing rainfall and ongoing fuel and supply issues convinced some consumers to stay home,” Helen Dickinson, chief executive of British Retail Consortium (BRC), said:

“The final week of September saw the worst total footfall levels since the last week July this year, shortly after the last Covid restrictions were lifted, demonstrating the fragility of consumer confidence and how the economic recovery from Covid can be so easily undermined.”

For the second consecutive month, Wales saw the shallowest footfall decline of all regions at -16.2 per cent, followed by Northern Ireland and England at -16.7 per cent.  Scotland saw the deepest decline at -19.9 per cent.

Andy Sumpter, retail consultant EMEA for Sensormatic Solutions, noted that the slowdown in footfall was particularly marked in the second half of the month as fears of fuel shortages prompted consumers to limit shopping journeys to essential trips.

“However, while we saw a levelling off in shopper traffic counts last month, September still represented the highest recovery point compared to pre-pandemic levels yet this year, pointing to a steady, albeit marginal, upward trajectory even in spite of supply chain disruption and petrol shortages at the pumps,” he added.

Dickinson urged the government to resolve the driver shortage, which leads to increased costs and delays throughout the supply chain, to ensure a smooth Christmas shopping.

“Retailers are trying to recruit and train thousands of new British drivers, but 5,000 visas are not enough to fill the gap in the short term. The government should extend the visa scheme to help prevent customers facing significant disruption this Christmas,” she said.

Sumpter added that high street’s recovery is essential for retailers to capitalise on Christmas trade as 79 per cent of consumers, as per their research, will start festive shopping between now and the start of December. “October and November will be critical months to encourage shoppers back into store,” he said.