London Daily

Focus on the big picture.
Monday, Jan 19, 2026

UK loses 83% of department stores since BHS collapsed

UK loses 83% of department stores since BHS collapsed

The UK has lost 83% of its main department stores in the five years since the collapse of the BHS chain.

The figure highlights the extent of the upheaval in the High Street as the Covid pandemic sped up changes in shopping habits.

The data, compiled by commercial property information firm CoStar Group, also reveals that more than two-thirds of these shops remain unoccupied.

Some 237 big stores have yet to be taken over by a new business.

"The data undoubtedly highlights the acceleration of change in the retail sector in recent years, which the pandemic has only exacerbated," said CoStar Group's head of analytics, Mark Stansfield.

CoStar tracked the UK's largest chains, from BHS and Beales to Debenhams and House of Fraser, from 2016 to the present day.

Five years ago, they had 467 stores between them. Now, however, only 79 are left.


CoStar Group also examined what had happened to the 388 that had closed.

Although 237 are currently sitting empty, 52 already have either firm plans in place or early planning approval for a change of use or repurposing. The research was done in July.


Mr Stansfield told the BBC he believed the pace of change would soon step up.

"We are increasingly seeing forward-thinking real estate owners getting ahead of the problem and reshaping what are key assets in our town centres to provide a focal point for regeneration," he said.

"I think we'll see many more plans come to light in the coming months. With these store closures come new opportunities."

No quick fix


Department stores have long been the cornerstone of UK shopping areas. Many are in purpose-built shopping centres, while some occupy historic buildings.

Figuring out what to do with all this redundant space is one of the biggest challenges for landlords, as well as for the town centres that host those properties.

BHS is a good illustration of why there is no quick fix for the problem. Five years after the retailer ceased trading, a quarter of its former outlets have still failed to attract new tenants.


In 2016, the BBC visited the old BHS store on Edinburgh's Princes Street, one of the biggest in the chain. The owners already had new ideas for the site - and crucially, they decided to turn it into a building with a mix of different uses.

Its six floors, once riddled with asbestos, have slowly been transformed. The old staff locker rooms and half of the building have been turned into hotel bedrooms by Premier Inn.

The former BHS store on Princes Street in Edinburgh has been repurposed

They're also putting the finishing touches to a state-of the art office right at the top, while the basement will hopefully become a bowling alley. There will also eventually be retail, just a lot less than before.

"It costs a lot of money and takes a lot of time to turn these large format spaces into new uses," says the architect behind the project, Frank Hinds of CDA.

"In development terms, we did this in a relatively short space of time."

When it comes to repurposing, says Mr Hinds, the stumbling blocks are often financial. Investors have to be able to make a return to justify the huge investment. Luckily for this BHS, it's on a world-class street.

"The viability comes from the location and the desire that people have to be in that location," he adds.

For Premier Inn, the hotelier involved, it was an opportunity too good to miss. "Buildings like this don't come along very often with beautiful views across to the castle," says Valerie Graham, regional operations director.

Premier Inn's Valerie Graham: "Buildings like this don't come along very often"

"Seeing so many people get use of the space is just fantastic. And the demand is there. We're creating jobs too."

Edinburgh has lost four of its main department stores in the past few years, but, fortunately, there are solutions under way for all of them.

For instance, the former House of Fraser store at the other end of Princes Street is about to open its doors as the Johnnie Walker Whisky Experience.

Small town blues


Filling the gaps in smaller towns is a much greater challenge. In Dumfries, the old Debenhams store is still vacant.

It's the biggest retail unit in the town, with no takers so far for the space.

"It comes down to money," says Scott Mackay, who runs the Midsteeple Quarter, a local company founded to benefit the community.

Through crowdfunding, donations and public money, it's buying old, empty, shops and bringing them back to life with new tenants.

The community group is buying up shops around the historic Midsteeple in Dumfries

"This is a small rural town historically and there isn't the amount of money to be invested in Dumfries compared with our bigger cities. We stand or fall on our own two feet," he says.

Would he like to take on the former Debenhams site as well? "If we had the funding, absolutely we would take on a building like this," he says.

"I think it would make a great small boutique cinema or food court on the ground floor, with potentially residential on the upper floors."

Some of form of intervention is needed, he believes, to avoid the store sitting empty for years.

Debenhams is a more recent casualty of the changing High Street environment than BHS, having shut its last stores in May this year.

In all, 149 former Debenhams stores are currently vacant, as the data from CoStar Group shows.


CoStar Group's team has been scouring planning applications and talking to property agents on the ground as well as big landlords for this research, which is the most comprehensive picture to date on the huge structural changes to have hit this part of British retail.

The appetite for quality shop space hasn't completely diminished. For instance, Next has already taken space in Debenhams stores for its new beauty concept, while Mike Ashley is redeveloping or re-letting space for his Flannels brand.

But if BHS is anything to go by, reviving many of these these vast sites will take time, as well as some radical thinking.

Newsletter

Related Articles

0:00
0:00
Close
High-Speed Train Collision in Southern Spain Kills at Least Twenty-One and Injures Scores
Meghan Markle May Return to the U.K. This Summer as Security Review Advances
Trump’s Greenland Tariff Threat Sparks EU Response and Risks Deep Transatlantic Rift
Prince Harry’s High Court Battle With Daily Mail Publisher Begins in London
Trump’s Tariff Escalation Presents Complex Challenges for the UK Economy
UK Prime Minister Starmer Rebukes Trump’s Greenland Tariff Strategy as Transatlantic Tensions Rise
Prince Harry’s Last Press Case in UK Court Signals Potential Turning Point in Media and Royal Relations
OpenAI to Begin Advertising in ChatGPT in Strategic Shift to New Revenue Model
GDP Growth Remains the Most Telling Barometer of Britain’s Economic Health
Prince William and Kate Middleton Stay Away as Prince Harry Visits London Amid Lingering Rift
Britain Braces for Colder Weather and Snow Risk as Temperatures Set to Plunge
Mass Protests Erupt as UK Nears Decision on China’s ‘Mega Embassy’ in London
Prince Harry to Return to UK to Testify in High-Profile Media Trial Against Associated Newspapers
Keir Starmer Rejects Trump’s Greenland Tariff Threat as ‘Completely Wrong’
Trump to hit Europe with 10% tariffs until Greenland deal is agreed
Prince Harry Returns to UK High Court as Final Privacy Trial Against Daily Mail Publisher Begins
Britain Confronts a Billion-Pound Wind Energy Paradox Amid Grid Constraints
The graduate 'jobpocalypse': Entry-level jobs are not shrinking. They are disappearing.
Cybercrime, Inc.: When Crime Becomes an Economy. How the World Accidentally Built a Twenty-Trillion-Dollar Criminal Economy
The Return of the Hands: Why the AI Age Is Rewriting the Meaning of “Real Work”
UK PM Kier Scammer Ridicules Tories With "Kamasutra"
Strategic Restraint, Credible Force, and the Discipline of Power
United Kingdom and Norway Endorse NATO’s ‘Arctic Sentry’ Mission Including Greenland
Woman Claiming to Be Freddie Mercury’s Secret Daughter Dies at Forty-Eight After Rare Cancer Battle
UK Launches First-Ever ‘Town of Culture’ Competition to Celebrate Local Stories and Boost Communities
Planned Sale of Shell and Exxon’s UK Gas Assets to Viaro Energy Collapses Amid Regulatory and Market Hurdles
UK Intensifies Arctic Security Engagement as Trump’s Greenland Rhetoric Fuels Allied Concern
Meghan Markle Could Return to the UK for the First Time in Nearly Four Years If Security Is Secured
Meghan Markle Likely to Return to UK Only if Harry Secures Official Security Cover
UAE Restricts Funding for Emiratis to Study in UK Amid Fears Over Muslim Brotherhood Influence
EU Seeks ‘Farage Clause’ in Brexit Reset Talks to Safeguard Long-Term Agreement Stability
Starmer’s Push to Rally Support for Action Against Elon Musk’s X Faces Setback as Canada Shuns Ban
UK Free School Meals Expansion Faces Political and Budgetary Delays
EU Seeks ‘Farage Clause’ in Brexit Reset Talks With Britain
Germany Hit by Major Airport Strikes Disrupting European Travel
Prince Harry Seeks King Charles’ Support to Open Invictus Games on UK Return
Washington Holds Back as Britain and France Signal Willingness to Deploy Troops in Postwar Ukraine
Elon Musk Accuses UK Government of Suppressing Free Speech as X Faces Potential Ban Over AI-Generated Content
Russia Deploys Hypersonic Missile in Strike on Ukraine
OpenAI and SoftBank Commit One Billion Dollars to Energy and Data Centre Supplier
UK Prime Minister Starmer Reaffirms Support for Danish Sovereignty Over Greenland Amid U.S. Pressure
UK Support Bolsters U.S. Seizure of Russian-Flagged Tanker Marinera in Atlantic Strike on Sanctions Evasion
The Claim That Maduro’s Capture and Trial Violate International Law Is Either Legally Illiterate—or Deliberately Deceptive
UK Data Watchdog Probes Elon Musk’s X Over AI-Generated Grok Images Amid Surge in Non-Consensual Outputs
Prince Harry to Return to UK for Court Hearing Without Plans to Meet King Charles III
UK Confirms Support for US Seizure of Russian-Flagged Oil Tanker in North Atlantic
Béla Tarr, Visionary Hungarian Filmmaker, Dies at Seventy After Long Illness
UK and France Pledge Military Hubs Across Ukraine in Post-Ceasefire Security Plan
Prince Harry Poised to Regain UK Security Cover, Clearing Way for Family Visits
UK Junk Food Advertising Ban Faces Major Loophole Allowing Brand-Only Promotions
×