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Independent numbers still growing in high streets

Published: 13 October 2014
New figures today from The Local Data Company (LDC) and British Independent Retailers Association (BIRA) show that traditional independent shops and leisure outlets continue to increase in Britain's town centres whilst the chains continue to retreat.
Independent numbers still growing in high streets
Contrary to popular belief independent high street businesses have continued to grow every year since 2009, albeit in smaller numbers as the years have passed. In 2010 the net change (openings minus closures) in stores grew by 4% although in 2014 this growth had reduced to 0.37%.

The new research reveals that in the first half of this year the number of independents was up by 432 units, an increase of 0.41% over the same period last year. However, non-perishable goods retailers have been the exception to the rule, declining since 2012, and the first half saw a further dip to -0.58%.

Independents continue to account for 66% of all retail and leisure units in Great Britain.

Restaurants, cafes, bookmakers and entertainment businesses have continued to grow but at a slower rate, and convenience retailers are stable. All showing growth are health and beauty, financial services, pawnbrokers, estate agents, tobacconists (e-cigarettes), barbers, mobile phone shops and restaurants and bars. Sectors in decline include women's and men's clothing, newsagents, shoe shops and pubs.

Caledonian Road, London N1 has the highest percentage of independents at 89.0%, followed by Glastonbury, Westcliff-on-Sea, Nantwich Road in Crewe, and Finsbury Park.

Salford has the fewest independents, at 24.4%, followed by Bracknell, Milton Keynes, Solihull and Cwmbran.

LDC director Matthew Hopkinson said that independents continued to remain positive while chains were showing a significantly increased closure rate.

"The growth in independents, the 'silent majority', is a significant factor in preventing vacancy rates rising in our town centres and also reflects the consumer response to a more personal and unique offer that many independents bring," he said.

"The danger, however, is that the volume of openings and closures of independents versus chains is 300% greater, resulting in a less stable high street and one prone to broad swings in performance based on business type and location."

Michael Weedon, BIRA deputy chief executive, added that "major changes are taking place all the time, with over 8,000 independents closing and just under 9,000 opening in just six months. If that happened in the world of the chains it would be headline news.

"For the fourth year in a row the overall number of independents has grown, favouring formats which need customers to be in shops, such as food, leisure and services. The net gain is what's slowly wearing the overall vacancy rate down but there's a big warning in this data: the total gain in independents is slowing and if it turns negative overall vacancy will start to rise again.

"Everyone concerned with the future of the high street needs to do everything they can to help those new businesses survive."

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