The shopping centre industry: its importance to the UK economy
The shopping centre industry: its importance to the UK economy
Keywords Economy, Retailing, Shopping centres
The British Council of Shopping Centres has a long-standing commitment to understand the economic changes that impact on the shopping centre industry and equally to be fully cognisant of the effect the industry has on society itself.
The private sector has the opportunity to participate and influence policy-making decisions and needs therefore to have accurate and relevant facts to support its case.
Accordingly, the time is now ripe to update the original research, published in 1993, to record precisely the scale and significance of the shopping centre industry in the UK economy. An executive summary of the new report, The Shopping Centre Industry: Its Importance to the UK Economy, appears below.
Executive summary
There are 1,300 shopping centres in the UK. This is the largest number of shopping centres in any country outside North America.
Recent planning policies, in the form of a revised PPG6, is clearly encouraging greater investment in town centre shopping schemes again. In our projections to the year 2000 the proportion of town centre shopping schemes is seen to increase markedly.
More than half of all shopping trips (54 per cent) on a Saturday now include a visit to a shopping centre. They are particularly popular among families with children, but also appeal to a wide cross-section of consumers, in terms of both age and social class.
Shopping centre sales have increased considerably and now total £58.7 billion out of a national market size of £156 billion (38 per cent). This is an increase of £11.7 billion since 1993.
Town centre shopping schemes account for 55 per cent of all shopping centre sales.
Net investment in shopping centres has been at a higher level than any other type of commercial property including retail, offices and industrial, over the last ten years.
We estimate that approximately 760,000 people work within shopping centres.
13 out of the top 20 centres ranked by an index of attractiveness are town centre shopping schemes.
13 out of the top 20 most successful shopping centres, in terms of sales,are town centre shopping schemes.
Landmark shopping centre developments
1956 The Bull Ring Centre, Birmingham, opened as the first enclosed shopping centre.
1976 The Arndale Centre, Manchester, first town centre shopping scheme with over 1 million sq.ft.
1976 Brent Cross, Hendon, NorthLondon, first free-standing,regional shopping centre to be built.
1983 Retail park development becomes significant; first year over 250,000 sq.ft opened.
1989 Fosse Park, Leicester, first of the hybrid shopping centres with a mixture of bulky goods and high street traders.
1986 The Metro Centre, Gateshead, first free-standing regional centre of over 1 million sq.ft.
1993 Clarks Village, Street, Somerset, first purpose-built factory outlet shopping centre.
1996 Brookfield Retail Park, Cheshunt, first out-of-town retail park to be occupied exclusively by high street tenants (including Next, Boots the Chemist, Burton and Mothercare).
Modern shopping centres have been with us for more than 35 years and this publication demonstrates the considerable achievements that have been realised by the industry and the substantial contribution that it has made to the health of the UK economy and to shopping satisfaction of the consumers.
Phillip Lewis, President of the British Council of Shopping Centres, said: "I am confident this document, The Shopping Centre Industry: Its Importance to the UK Economy, will become a valuable guide for both private and public sector organisations,helping us to adapt to consumer needs as we approach the millennium".
For further information contact: The Oxford Institute of Retail Management, Templeton College, Oxford OX1 5NY.
