View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
April 20, 2020

UK lockdown likely to impact sales by GBP14.5bn

The closure of non-essential retail in the UK, now extended for another three weeks, equates to 382m sq ft of physical space out of action – space that would have generated GBP14.5bn (US$18.1bn) of revenue over that period based on 2019 sales, according to data and analytics company GlobalData.

By Beth Wright

The closure of non-essential retail in the UK, now extended for another three weeks, equates to 382m sq ft of physical space out of action – space that would have generated GBP14.5bn (US$18.1bn) of revenue over that period based on 2019 sales, according to data and analytics company GlobalData.

Free Whitepaper
img

What is the impact of China’s Zero-COVID lockdowns on economic activity, consumer goods and the foodservice industry?

While wanting to protect the country from being overwhelmed by Omicron, China’s adherence to a Zero-COVID policy is resulting in a significant economic downturn. COVID outbreaks in Shanghai, Beijing and many other Chinese cities will impact 2022’s economic growth as consumers and businesses experience rolling lockdowns, leading to a slowdown in domestic and international supply chains. China’s Zero-COVID policy is having a demonstrable impact on consumer-facing industries. Access GlobalData’s new whitepaper, China in 2022: the impact of China’s Zero-COVID lockdowns on economic activity, consumer goods and the foodservice industry, to examine the current situation in Shanghai and other cities in China, to better understand the worst-affected industry sectors, foodservice in particular, and to explore potential growth opportunities as China recovers. The white paper covers:
  • Which multinational companies have been affected?
  • What is the effect of lockdowns on foodservice?
  • What is the effect of lockdowns on Chinese ports?
  • Spotlight on Shanghai: what is the situation there?
  • How have Chinese consumers reacted?
  • How might the Chinese government react?
  • What are the potential growth opportunities?
by GlobalData
Enter your details here to receive your free Whitepaper.

“Measures to stop the spread of Covid-19 in the community is hitting non-food retailers the hardest, particularly clothing specialists, which account for 36% of these lost sales,” says Maureen Hinton, global retail director at GlobalData. 

“While some of these sales will have transferred online, the majority will not be recovered, speeding up the demise of the weakest operators and the permanent closure of even more retail space.”

The three-week lockdown extension is expected to push down UK fashion spend by a further GBP1.4bn specifically, with UK clothing and footwear spend now forecast at GBP39.7bn (US$49.6bn) for 2020, a decline of 26.1% on 2019. This is a further GBP1.4bn drop on GlobalData’s prior forecasts on 6 April 2020.

The sector is likely to be worst hit by the coronavirus and has seen department store group Debenhams fall into administration earlier this month, while UK-based fashion and accessories retailer Monsoon Accessorize has also said it is weighing up options to secure the business’s future.

Online clothing brand Harpenne, which is owned by UK high street retailer River Island, has also permanently closed less than a year after its launch. 

Related Companies

Free Whitepaper
img

What is the impact of China’s Zero-COVID lockdowns on economic activity, consumer goods and the foodservice industry?

While wanting to protect the country from being overwhelmed by Omicron, China’s adherence to a Zero-COVID policy is resulting in a significant economic downturn. COVID outbreaks in Shanghai, Beijing and many other Chinese cities will impact 2022’s economic growth as consumers and businesses experience rolling lockdowns, leading to a slowdown in domestic and international supply chains. China’s Zero-COVID policy is having a demonstrable impact on consumer-facing industries. Access GlobalData’s new whitepaper, China in 2022: the impact of China’s Zero-COVID lockdowns on economic activity, consumer goods and the foodservice industry, to examine the current situation in Shanghai and other cities in China, to better understand the worst-affected industry sectors, foodservice in particular, and to explore potential growth opportunities as China recovers. The white paper covers:
  • Which multinational companies have been affected?
  • What is the effect of lockdowns on foodservice?
  • What is the effect of lockdowns on Chinese ports?
  • Spotlight on Shanghai: what is the situation there?
  • How have Chinese consumers reacted?
  • How might the Chinese government react?
  • What are the potential growth opportunities?
by GlobalData
Enter your details here to receive your free Whitepaper.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Monday. The industry's most comprehensive news and information delivered every quarter.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Just Style