Nearly one in five shops in Wales are empty, shows new research from the Welsh Retail Consortium.
In the second quarter of this year the vacancy rate increased to 19.5%, from 19.2% in Q1. The latest level is 3.6% higher than the same point in 2020.
Shopping centre vacancies increased to 23.4% from 22.9%, while for the high street the rate remained unchanged at 19.4% Retail park vacancies increased to 12.9% from 11.5% in Q1.
The overall vacancy rate in Wales was the second highest of any nation or region of the 海角视频, behind the north-east of England at 20.6%. Greater London had the lowest at 11.1%.
Some 65% of space has been empty for more than a year.
|
Current |
1 Quarter Ago |
1 Year Ago |
|
Rank |
Region |
Q2 2021 |
Q1 2021 |
Q2 2020 |
1 |
Greater London |
11.1% |
10.7% |
9.1% |
2 |
South East |
13.3% |
12.7% |
10.7% |
3 |
East of England |
14.6% |
14.1% |
12.2% |
4 |
South West |
14.8% |
14.4% |
12.6% |
5 |
Scotland |
16.1% |
15.3% |
12.9% |
6 |
East Midlands |
16.8% |
16.3% |
13.7% |
7 |
West Midlands |
17.4% |
16.9% |
14.4% |
8 |
Yorkshire and the Humber |
17.4% |
17.0% |
14.9% |
9 |
North West |
18.1% |
17.7% |
15.9% |
10 |
Wales |
19.5% |
19.2% |
15.9% |
11 |
North East |
20.6% |
19.3% |
16.6% |
Sara Jones, head of the Welsh Retail Consortium, said: “The number of empty retail premises spiked once more in the last quarter, as the economic effects of the pandemic continue to be felt.
" Shopping centres have been particularly hard hit with almost one in four units now standing vacant. With footfall down a quarter on pre-pandemic levels retailers across the nation will be hoping for some positivity in the next quarter as we approach a vital trading period for the industry.
“It will also be a key period for decision makers as they begin discussions on the Welsh budget, a key area where our government representatives can make a positive difference to our Welsh high streets and shopping centres. After the welcome relief from business rates during this financial year (2021-22), a full return to 100% rates liability would be enormously challenging for many and would add the woes of our retail destinations.
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“The budget should also be used to support the initiatives that will emerge from the retail recovery strategy, in order to alleviate operational pressures on businesses and support consumer spending. The Welsh retail industry has a key role to play in rejuvenating the economy and being part of future success, but this will only happen if the conditions allow it to thrive.”
Lucy Stainton, director of the Local Data Company, which compiled the data, said: "Vacancy across the 海角视频 high streets, retail parks and shopping centres continued to rise in Q2 2021, however the increase was half that of the same period in 2020, alluding to the fact that, like the pandemic, there is hope that we are over the worst. After an initial flurry of CVAs (company voluntary arrangements) , closures due to consumer behaviour shifts and cost-cutting exercises, retailers are now starting to dust themselves off with cautious optimism, keeping a close eye on the rapidly changing infection rate and the pace at which vaccinations are taking place; two measures that could seriously de-rail recovery efforts should they not go in the right direction.
“Vacancy now sits at the highest rate ever recorded by the Local Data Company. With appetite for new space increasing but still modest, there will simply never be enough demand to meet the supply.
" The property market will be forced to think of more creative ways to utilise this space, to avoid exacerbating the already high rates of long-term voids across our retail destinations which are not only unsightly and costly for landlords, but also have a negative impact on surrounding stores.”