UK retailers enjoyed a surprise “bumper” Boxing Day as shoppers defied the gloom and 26 December footfall recorded its highest increase in 10 years.
Footfall for all UK retail destinations was up +4.4% year-on-year and the strongest rise in a decade, according to the data from retail technology firm MRI Software.
An afternoon report showed a drop in footfall of 0.3%, but the data then rose significantly with the boost driven by a peak in visits from 5pm – 11pm.
Boxing Day footfall on high streets saw a 3.6% rise on 2024, with an 8.8% uplift for retail parks and a 2.1% increase at shopping centres.
Jenni Matthews, retail analyst at MRI Software, said: “Despite a slow start for high streets and shopping centres, Boxing Day proved to be a bumper day for all UK retail destinations with footfall up 4.4% year on year across the board; the strongest increase seen in over ten years.”
“Retail parks led the charge with an 8.8% uplift but as the day progressed, it was clear to see shoppers out across all UK retail destination types with footfall up in high streets (+3.6%) and shopping centres (+2.1%) suggesting people were keen to clear off those festive cobwebs much earlier than usual.
“With a number of stores still shut and not reopening until today, it’s likely that leisure and hospitality establishments may well have benefited from the annual uplift.
“This is an early indicator that the retail sector may well end the year on a positive note given the challenging times faced at the beginning of the year.”
The surprised Boxing Day uplift follows subdued pre-Christmas figures amid a tough time for retailers.
Retail sales fell unexpectedly in November and MRI Software data covering 1 December to Christmas Eve showed only a 0.9% year-on-year increase in footfall across all retail destinations. Footfall on high streets and at retail parks was up 1.7% and 0.8%, while at shopping centres it was down 0.6%.
Retail, leisure and hospitality businesses say they are having to tackle significant challenges, including increased costs due to the government’s National Insurance changes.
In addition, UK Hospitality claim increases to rateable values will see an average pub pay £12,900 more in business rates over three years, as rates climb 76% for pubs and 115% for hotels.
Speaking at an event in London earlier this month, hospitality entrepreneur Jayke Mangion said: “Every bit of our growth seems to be swallowed up by rising costs of what seems like everything. It isn’t a rough patch. It doesn’t feel like a seasonal dip, but more of a structural failure.
“Since April 2024 every cost has gone up. Our VAT, PAYE, energy and supply costs have all risen at once. Every lever is being pulled upwards, and the only thing going down is our margin, our resilience and our confidence.”