Number of retailers on the brink of collapse up by 25%
The Guardian
|December 28, 2024
Footfall levels up 18% on Christmas Eve compared with last year.
The number of British retailers on the brink of collapse has risen by a quarter in the final three months of the year, driven by rising business costs and weak consumer confidence, according to a report.
The proportion of retail businesses classed as being in "critical" financial distress increased by 25% to 2,124 in the fourth quarter compared with the previous three months, the insolvency specialists Begbies Traynor said.
The general retail sector is under most pressure, with a 29% quarterly increase in businesses in critical financial distress, rising to 1,457 from 1,127 in the third quarter.
In the food and drug retail sector there was a 17.2% quarterly increase, with the number of businesses facing collapse rising from 569 in the third quarter to 667 by the end of the 11th week of the final three months of this year.
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