West End turnover on track to reach pre-pandemic levels
Consumer spending in the West End is set to recover to pre-pandemic levels by 2024, according to a new report.
Researchers at Colliers predict that the area will record turnover of £8.6bn this year.
Spending across the West End was up year-on-year by 30% to £4.6bn in 2021. However, this was only 46% of the £10bn turnover that was achieved before the pandemic began.
Consumer spending in the West End is set to recover to pre-pandemic levels by 2024, according to a new report.
Researchers at Colliers predict that the area will record turnover of £8.6bn this year.
Spending across the West End was up year-on-year by 30% to £4.6bn in 2021. However, this was only 46% of the £10bn turnover that was achieved before the pandemic began.
The report, commissioned by New West End Company, predicts sales will rise by a further 15% by 2025, to £11.4bn.
Spending is set to be driven by domestically generated sales, given an ongoing lack of overseas shoppers. Areas that rely the most heavily on tourism – such as Regent Street, Bond Street and Mayfair – saw 2021 sales average only a third of 2019 levels.
Jace Tyrrell, chief executive at New West End Company, said: “Nearly two years on from the start of the pandemic and the road ahead for the West End looks promising, with the long-anticipated opening of the £19bn Elizabeth Line set to turbo charge our recovery.
“While it is heartening to see domestic customers filling our high streets with optimism once again and travel restrictions gradually disappearing, we can speed up the nation’s recovery greatly by incentivising high-spending tourists to return to our shores.”
Paddy Gamble, co-head of retail strategy at Colliers, said: “Our data has highlighted how the mix of shopper groups and origin of footfall has meant that recovery in 2021 was not equal across all parts of the West End.
“Areas with much greater levels of domestic trade have, and will continue, to recover quickest with UK generated sales to hit pre-pandemic levels by 2023. However areas with much greater reliance on tourists and international visitors will take longer to return to the levels of footfall and sales witnessed before the Covid lockdowns. Overall, we have forecast West End performance to be back to pre-pandemic levels by 2024.”
New West End Company is calling on the government for more support to help attract overseas holidaymakers back to the UK. Proposals include simplifying the UK’s visitor visa system, rethinking the abolition of tax-free shopping and extended Sunday trading hours.
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