"Fears over the strength of the UK economy appear to have kept shoppers away from high streets on Black Friday, adding to growing evidence that consumer caution will weigh heavily on growth into 2026. Footfall across all shopping destinations fell by 2% on Friday and was 7.2% lower than the equivalent days last year, according to data from monitoring firm MRI Software. Only locations close to central London offices bucked the trend, seeing a slight lift as workers browsed stores during breaks"
"The subdued results coincided with a warning from consultancy KPMG, which said that soft consumer spending would be one of the key drags on the economy over the next 12 months. Although much of the £26bn tax-raising impact of Rachel Reeves's first budget will not feed through immediately, KPMG said households remain under severe pressure as unemployment edges up towards 5.2%."
Shoppers avoided many high streets on Black Friday, with overall footfall down 2% on the day and 7.2% below last year. Only areas near central London offices saw slight increases as workers browsed during breaks. Online sales were uneven, showing a sharp Thursday fall despite stronger earlier-week activity. The cost-of-living squeeze and rising household pressure are reducing consumer activity while unemployment approaches 5.2%. KPMG forecasts subdued GDP growth of 1% in 2026 and 1.4% in 2027, citing a cooling labour market and weak household spending, with green investment and housing reform as potential positive offsets.
Read at Business Matters
Unable to calculate read time
Collection
[
|
...
]