Footfall on high streets grew 3.6 per cent, while shopping centre footfall rose 2.1 per cent. Retail parks saw the greatest increase, up 8.8 per cent. The data does not capture sales so cannot give an indicator of how much money was spent.<\/p>\n
Jenni Matthews, a retail analyst at MRI, said the data suggested that people were visiting hospitality and leisure businesses as well as shops when they went out. There were reports of long queues at Bicester Village and brisk trade at London\u2019s Westfield shopping centres.<\/p>\n
However, the Boxing Day figures came after the number of general retail firms considered to be in \u201ccritical distress\u201d surged by 16.7 per cent year-on-year in the fourth quarter of 2025 (up to December 15), hitting 1,947, according to a \u201cred flag\u201d report from the insolvency practitioners Begbies Traynor.<\/p>\n
Kien Tan, senior retail adviser at PwC, added: \u201cIt\u2019s an inflationary environment where cost inflation is also picking up, where consumers are being a little bit more careful about how they spend and the No 1 concern is the high cost of living.\u201d<\/p>\n
Helen Dickinson, chief executive of the British Retail Consortium, blamed the spate of insolvencies on higher costs and government policy. <\/p>\n
She said: \u201cThe higher number of retailers calling in administrators this year reflects the increased cost burden added to the industry. From billions in additional national insurance to the new packaging tax, the combination of costs imposed by government has reduced profitability of an already low-margin industry.\u201d<\/p>\n
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Helen Dickinson, chief executive of the British Retail Consortium, blamed higher costs and government policy for the surge in insolvencies<\/p>\n
ALAMY<\/p>\n
Retail chiefs have repeatedly singled out the move by Rachel Reeves<\/a> to increase employer national insurance contributions<\/a> (NICs) and lower the threshold at which they are paid as being particularly difficult for the industry to absorb, because of the number of lower-paid and part-time staff they employ.<\/p>\n Jonathan James, who runs a group of 40 convenience stores, said: \u201cThe high street\u2019s under pressure from all angles. We\u2019re doing a lot more to ensure that, wherever we\u2019ve got costs, we do our best to mitigate those. For example, we\u2019re rolling out more self-checkouts to enable us to keep labour costs low.\u201d<\/p>\n He added: \u201cWe\u2019ve tried as much as we could to manage our costs without passing it on to customers, but undoubtedly, some of that has had to be passed on.\u201d<\/p>\n The fashion accessories collapsed into administration in the UK and Ireland in August<\/p>\n ALAMY<\/p>\n Notable examples of retail firms to call in the administrators in 2025 included the UK arm of Claire\u2019s Accessories<\/a>, which did so in August and was sold to private equity firm Modella Capital, as well as the upmarket tiles brand Fired Earth, which closed its estate of 20 showrooms in November.<\/p>\n Other casualties included online retailers Bodycare<\/a> and SilkFred, and the independent musical instruments store GAK in Brighton. <\/p>\n River Island<\/a> and Poundland<\/a>, meanwhile, both narrowly avoided going into administration by putting forward significant restructuring plans, which were both approved by the High Court.<\/p>\n Kroll\u2019s data covers only administrations, which are typically used when a struggling company\u2019s creditors believe a better outcome than liquidation can be achieved. <\/p>\n The independent musical instruments store GAK, which stands for Guitar, amp and keyboard, was a key part of the Brighton music scene for more than three decades<\/p>\n ALAMY<\/p>\n It is not just retailers facing the prospect of a challenging year. According to Begbies Traynor\u2019s data, the number of bars and restaurants in critical distress rose by 14.1 per cent in the last quarter of the year to 1,034. <\/p>\n Julie Palmer, regional managing partner at Begbies Traynor, said: \u201cIf anything, the situation with the hospitality sector<\/a> is even more precarious. Typically, this sector operates on narrow margins and even small changes to the cost base can have a devastating impact.\u201d<\/p>\n A government spokesman said: \u201cWe are a pro-business government that has capped corporation tax at 25 per cent \u2014 the lowest rate in the G7 \u2014 capped business rates with a \u00a34.3 billion support package, and have seen interest rates cut six times since the election, benefiting businesses in every part of Britain.<\/p>\n![\"Claire's](\"https:\/\/www.newsbeep.com\/ca\/wp-content\/uploads\/2025\/12\/\/82334744-f83a-4c6a-b647-237ef03f5b54.jpg\")
<\/p>\n![\"The](\"https:\/\/www.newsbeep.com\/ca\/wp-content\/uploads\/2025\/12\/\/cf2cf5f1-fd01-4c53-b06e-d57a2a3bea33.jpg\")
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