Great Britain’s overall shop vacancy rate remained unchanged at 13.8% in the first quarter of 2023, new data reveals.
However, the BRC LDC Vacancies Monitor reveals the shop vacancy rate has improved by 0.3% year-on-year, and is the lowest vacancy rate since the fourth quarter of 2020.
Scotland’s shop vacancy rate stood at 15.7% in the first quarter of the year, unchanged from the previous quarter, the data shows.
During the first quarter, shopping centres and retail parks experienced an increase in the proportion of occupied properties compared to the previous quarter, while the vacancy rates in high streets remained unchanged.
Shopping centres remained the location with the highest vacancy rate in the first quarter, but there was a noticeable improvement of 0.4% percentage points to 17.8%. This improvement could be attributed to investors converting some of the vacant space into alternative uses.
The vacancy rates on high streets in Great Britain remained constant at 13.8%, which is the lowest rate seen since the second quarter of 2021.
Helen Dickinson, Chief Executive of the British Retail Consortium, said: “The vacancy rate in the first quarter of 2023 saw no improvement as cost pressures made many retailers think twice about investing in new stores.”
She added: “While Northern regions saw the biggest uptick in net openings, they continued to lag behind the rest of the UK with the highest vacancy rates in the country, laying bare the North-South divide.”
Lucy Stainton, Commercial Director at Local Data Company, said: “Whilst there has been a slowdown in the growth of independent businesses, we are seeing a number of chains return to focus on acquisitions and we predict that activity levels should ramp up between now and the end of the year, as the challenges operators face begin to ease up, with operators adapting their portfolios to meet current consumer demands, within this economic climate.”
