London Daily

Focus on the big picture.
Thursday, Dec 18, 2025

'Worst year for High Street job losses in 25 years'

'Worst year for High Street job losses in 25 years'

Last year was the worst for the High Street in more than 25 years as the coronavirus accelerated the move towards online shopping, analysts say.

Nearly 180,000 retail jobs were lost in the UK in 2020, up by almost a quarter on the previous year, according to the Centre for Retail Research (CRR).

It warned there will be more pain for the sector in 2021 as retailers face a cash flow crisis and rent payments.

It has predicted up to 200,000 more retail jobs will be at risk in 2021.

Professor Joshua Bamfield, a director at the Centre for Retail Research, said its forecast was based on "the cumulative effects of months of closure and its impact upon cash flow and rent arrears that will be payable when the moratorium ends.

"Whilst the longer-term effects of the greater use by shoppers of all kinds of online retailing is likely to be hugely damaging for physical stores," he added.


Topshop has been hit hard by coronavirus lockdowns


Major brands including Topshop-owner Arcadia, Edinburgh Woollen Mill Group and Debenhams slashed hundreds of jobs after collapsinig into administration during the year.

Susannah Streeter, market analyst at Hargreaves Landsdown, said the pandemic alone couldn't "be blamed for the collapse of household names. It merely accelerated the shift to digital," she said.

She says that 2021 will be a "year of painful evolution" for the sector.

"Debenhams has been the key anchor store in city centres for decades, but fell behind fashion trends, whilst locked into long leases with rising rents with underperforming online sales.

"Topshop was still the leader of the High Street fashion pack a decade ago, but underinvestment in e-commerce and social media, saw it leapfrogged by savvy online rivals like Boohoo and Asos."



The success of fast fashion online retailers such as Boohoo has been tough for some of the more established High Street brands to emulate.

Mrs Streeter said that shoppers appeared to "shrug off" accusations that the retailer had been "tolerating widespread abuses of employment law" at some of its suppliers in Leicester.

"Although ethical concerns do appear to be growing amongst some consumers, it seems fast fashion shoppers are still prioritising price."

The pandemic has 'turbo-charged' the High Street's decline

Analysis by consumer affairs correspondent Sarah Corker



The High Street was struggling before the pandemic struck, but almost a year of lockdowns and restrictions appears to have turbocharged that decline. Some estimate the shift towards online shopping has been accelerated by five to ten years.

Every week in 2020, an estimated 3,400 retail jobs were lost. Retailers have spent huge sums of money making their premises covid secure; stores have been re-designed with one way systems and plastic screens, returned items are quarantined for up to 72 hours and there are enhanced cleaning regimes.

All that pushes costs up at a time when social distancing means there are fewer customers.

But amid the slew of store closures, there is a slither of positive news. As more of us work from home, we're spending more money locally and rediscovering our local high streets and independent stores.

Analysis of spending habits suggests smaller neighbourhood shopping areas have fared much better than large cities and shopping centres this year.

Currently around three million people in the UK work in retail.

The CRR warned that on-going Tier 4 restrictions and a delayed rollout of coronavirus vaccines in the UK could spark up to 200,000 job losses.

'Not a bun fight'


Mrs Streeter added that it would be crucial for high street retailers to evolve their in-store experience if they were to attract customers back in a post Covid-19 climate.

"Department stores can still thrive, if they provide the experience the customer craves. Items like footwear can be very difficult to get right online," she said.


Boohoo's market capitalisation is now more than household name Marks & Spencer

Trying out fragrances and skincare is impossible in a virtual world. Underwear, which is difficult to return, may look a good fit on models but customers prefer to try it before they buy, she says.

"However, shopping needs to be an enjoyable past time, not a bun fight amid vast racks of clothes. Reducing retail footprints, while investing in the appeal of an exciting in store and online seamless experience will be key to attracting newer younger customers."

Newsletter

Related Articles

0:00
0:00
Close
UK Issues Final Ultimatum to Roman Abramovich Over £2.5bn Chelsea Sale Funds for Ukraine
Rare Pink Fog Sweeps Across Parts of the UK as Met Office Warns of Poor Visibility
UK Police Pledge ‘More Assertive’ Enforcement to Tackle Antisemitism at Protests
UK Police Warn They Will Arrest Protesters Chanting ‘Globalise the Intifada’
Trump Files $10 Billion Defamation Lawsuit Against BBC as Broadcaster Pledges Legal Defence
UK Says U.S. Tech Deal Talks Still Active Despite Washington’s Suspension of Prosperity Pact
UK Mortgage Rules to Give Greater Flexibility to Borrowers With Irregular Incomes
UK Treasury Moves to Position Britain as Leading Global Hub for Crypto Firms
U.S. Freezes £31 Billion Tech Prosperity Deal With Britain Amid Trade Dispute
Prince Harry and Meghan’s Potential UK Return Gains New Momentum Amid Security Review and Royal Dialogue
Zelensky Opens High-Stakes Peace Talks in Berlin with Trump Envoy and European Leaders
Historical Reflections on Press Freedom Emerge Amid Debate Over Trump’s Media Policies
UK Boosts Protection for Jewish Communities After Sydney Hanukkah Attack
UK Government Declines to Comment After ICC Prosecutor Alleges Britain Threatened to Defund Court Over Israel Arrest Warrant
Apple Shutters All Retail Stores in the United Kingdom Under New National COVID-19 Lockdown
US–UK Technology Partnership Strains as Key Trade Disagreements Emerge
UK Police Confirm No Further Action Over Allegation That Andrew Asked Bodyguard to Investigate Virginia Giuffre
Giuffre Family Expresses Deep Disappointment as UK Police Decline New Inquiry Into Andrew Mountbatten-Windsor Claims
Transatlantic Trade Ambitions Hit a Snag as UK–US Deal Faces Emerging Challenges
Ex-ICC Prosecutor Alleges UK Threatened to Withdraw Funding Over Netanyahu Arrest Warrant Bid
UK Disciplinary Tribunal Clears Carter-Ruck Lawyer of Misconduct in OneCoin Case
‘Pink Ladies’ Emerge as Prominent Face of UK Anti-Immigration Protests
Nigel Farage Says Reform UK Has Become Britain’s Largest Party as Labour Membership Falls Sharply
Google DeepMind and UK Government Launch First Automated AI Lab to Accelerate Scientific Discovery
UK Economy Falters Ahead of Budget as Growth Contracts and Confidence Wanes
Australia Approves Increased Foreign Stake in Strategic Defence Shipbuilder
Former UK Prime Minister Boris Johnson proclaims, “For Ukraine, surrendering their land would be a nightmare.”
Microsoft Challenges £2.1 Billion UK Cloud Licensing Lawsuit at Competition Tribunal
Fake Doctor in Uttar Pradesh Accused of Killing Woman After Performing YouTube-Based Surgery
Hackers Are Hiding Malware in Open-Source Tools and IDE Extensions
Traveling to USA? Homeland Security moving toward requiring foreign travelers to share social media history
UK Officials Push Back at Trump Saying European Leaders ‘Talk Too Much’ About Ukraine
UK Warns of Escalating Cyber Assault Linked to Putin’s State-Backed Operations
UK Consumer Spending Falters in November as Households Hold Back Ahead of Budget
UK Orders Fresh Review of Prince Harry’s Security Status After Formal Request
U.S. Authorises Nvidia to Sell H200 AI Chips to China Under Security Controls
Trump in Direct Assault: European Leaders Are Weak, Immigration a Disaster. Russia Is Strong and Big — and Will Win
"App recommendation" or disguised advertisement? ChatGPT Premium users are furious
"The Great Filtering": Australia Blocks Hundreds of Thousands of Minors From Social Networks
Mark Zuckerberg Pulls Back From Metaverse After $70 Billion Loss as Meta Shifts Priorities to AI
Nvidia CEO Says U.S. Data-Center Builds Take Years while China ‘Builds a Hospital in a Weekend’
Indian Airports in Turmoil as IndiGo Cancels Over a Thousand Flights, Stranding Thousands
Hollywood Industry on Edge as Netflix Secures Near-$60 Bln Loan for Warner Bros Takeover
Drugs and Assassinations: The Connection Between the Italian Mafia and Football Ultras
Hollywood megadeal: Netflix acquires Warner Bros. Discovery for 83 billion dollars
The Disregard for a Europe ‘in Danger of Erasure,’ the Shift Toward Russia: Trump’s Strategic Policy Document
Two and a Half Weeks After the Major Outage: A Cloudflare Malfunction Brings Down Multiple Sites
UK data-regulator demands urgent clarity on racial bias in police facial-recognition systems
Labour Uses Biscuits to Explain UK Debt — MPs Lean Into Social Media to Reach New Audiences
German President Lays Wreath at Coventry as UK-Germany Reaffirm Unity Against Russia’s Threat
×