Store vacancy rate falls but remains below pre-pandemic levels
This was the fourth consecutive quarter of falling vacancy rates
In the third quarter of 2022, the overall GB vacancy rate decreased to 13.9%, a 0.1% rise from Q2 and 0.6% better than the same period last year, according to the latest monitor from the BRC and Local Data Company.
This was the fourth consecutive quarter of falling vacancy rates.
All locations saw improvements in vacancy rates in Q3. Shopping Centre vacancies fell to 18.8%, down from 18.9% in Q2 2022. High Street vacancies decreased to 13.9% in Q3, which was an improvement on 14.0% in Q2.
Meanwhile, Retail Parks remain the retail location with by far the lowest vacancy rate, as they decreased to 9.7% in Q3, a 0.5 percentage point improvement from Q2 2022.
Geographically, London, South East and East of England had the lowest vacancy rates. The highest rates were in the North East, followed by Wales and the West Midlands.
Helen Dickinson OBE, chief executive of the British Retail Consortium, said: “The overall shop vacancy rate improved for the fourth consecutive quarter; however, vacancies remain higher than pre-pandemic levels.
“Some locations are benefitting from a pickup in tourism and a gradual return to offices, but levels of footfall are still below those of 2019. This gave some businesses the confidence to start investing, opening new stores around the country, especially in Retail Parks. But the North-South divide is again laid bare in these figures.”
Lucy Stainton, commercial director, Local Data Company, added: “Our latest analysis of the physical retail and leisure market across GB as a whole shows a sustained level of recovery at a time when further economic headwinds have been well-documented. With a decrease in store closures compared to the same time last year, in parallel with an increase in openings, vacancy rates have continued to decline as we look to the end of 2022.”
