In a retail landscape where businesses taking online payments has become the norm, it’s easy for those running a business in the physical realm to feel disheartened by the frequent news of closures and the alarming phrase, “The death of the high street”. Research, however, indicates that there is no need for concern as the high street isn’t dying; it’s simply transforming and evolving to meet new customer demands. With nearly 7,000 high streets in Great Britain and over 320,000 retail businesses operating in 2024, adapting to shifting consumer needs has never been more exciting for physical retail.
Experts predict that the branded coffee shop market alone will surpass 10,500 outlets in the UK by January 2025, demonstrating an appetite for physical locations. Additionally, ambitious projects, like the prospect of a £150 million pedestrianisation of Oxford Street, signal a renewed investment in our shopping districts, suggesting that the future of high streets is not just surviving but amid a vibrant resurgence.
To understand more about the UK's evolving high street, we have used ONS data to analyse new business registrations over the past five years in the UK, regions and cities where high streets are thriving and industries that are flourishing.
UK high street statistics and key findings
The West Midlands leads the UK as the region with the highest percentage increase (9.4%) in retail businesses in the past five years
Aberdeen is the city with the highest percentage increase (82%) in retail businesses in the past five years
Chatham has had the highest percentage increase (83%) in the openings of hairdressing and beauty businesses in the past five years
Harlow has seen the highest percentage growth (50%) in takeaway food shops, mobile food stands in the past five years
High Wycombe has the highest increase (80%) in openings of unlicensed restaurants, and cafes in the past five years
Telecommunication equipment stores have had the highest percentage increase (44.4%) of store openings in the UK in the past five years
The industries growing the fastest on the UK high streets
Rank | Industry | Percentage increase 2020-2024 |
1 | Telecommunications equipment stores | 44.4% |
2 | Games and toy stores | 44% |
3 | Clothing markets and stalls | 26.5% |
4 | Bakeries | 25% |
5 | Non-specialised stores | 21.1% |
6 | Food and beverage markets and stalls | 20.4% |
7 | Music and video stores | 19.2% |
8 | Cosmetic and beauty stores | 19.1% |
9 | Medical goods stores | 18.9% |
10 | Miscellaneous markets and stalls | 17.1% |
Telecommunications stores are championing 2024 high streets
Specialised telecommunications equipment stores have seen the highest increase in retail openings in the UK since 2020. With a 44.4% increase, the UK’s love for technology is stronger than ever. Buying a new device is a large investment and long-term commitment, making the interaction and guidance available in-store so valuable to customers.
Games and toy stores are seeing the second-fastest growth in the UK
With the UK being home to an estimated 37 million gamers, it is no surprise that the industry claimed second place podium on this leaderboard.
Our research found that games and toy stores have seen the second-highest increase in openings since 2020. Taking the top spot in England and particularly thriving in the North West, West Midlands, East, and South-East, where the industry also had the most increased retail store openings within the region. The North West leads this trend, with the highest percentage increase of 93.8% for Toys and Games stores.
Clothing market stalls over takes specialised fashion stores in growth
Market stalls are redefining the fashion retail experience and bringing new life to the high street as clothing stores see slower growth. This proves there’s still a resounding demand for in-person clothing shopping, just using a different method, particularly in Wales where clothing markets landed the top spot as the most increased (+ 100%).
This sector has emerged as the third fastest-growing retail industry, with a 26.5% increase in businesses since 2020, compared with clothing retail stores which grew just 1.65% in comparison.
The UK regions with the highest growth in retail businesses over the past five years
Rank | Region | Percentage increase from 2020-2024 |
1 | West Midlands | 9.4% |
2 | Yorkshire and the Humber | 8% |
3 | London | 7.8% |
4 | North East | 6.7% |
5 | Northern Ireland | 6.4% |
The West Midlands is championing UK high streets, with more store openings since 2020 than any other region
Our research discovered that the West Midlands leads the UK as the region with the highest percentage increase in retail businesses across the UK since 2020 at 9.4%. In 2020, the West Midlands was home to 16,965 retail stores, which has increased to 18,560 in 2024.
Residents of the West Midlands search online 21,200 times each month for high streets and related terms, such as specific high street names and stores in the area, proving their love for their local businesses. Within the West Midlands, telecommunications stores are proving particularly popular, with retail locations increasing by 58.33% since 2020.
How has TikTok helped retail thrive in the North East?
The data found that the North East is the region with the fourth-highest increase in retail businesses over the past five years.
We spoke with Rebecca Baty, better known by her followers as @rebbeebee18. Rebecca is the Official TikTok Ambassador for Newcastle upon Tyne and supports local restaurants and businesses by sharing her dining experience on the platform. She shared her thoughts and experiences on how TikTok has helped to shape retail businesses in the North East.
“By highlighting the excellent places to go and things to do in the North East on TikTok, I’m lucky enough to see lots of local businesses flourish. And there’s no doubt that social media can really help our region’s businesses to succeed, especially the smaller and independent ones that don’t have the same marketing budgets as large companies.”
“Earlier this year I posted on TikTok about a new Greek restaurant on Newcastle’s Quayside which opened in January - a more difficult time of year for the hospitality sector. The video I posted received almost 100k views and their business is booming. In another video, I highlighted a brand new ‘Head Spa’ business, one of the first in the North East. The spa owner is now fully booked up until March 2025!”
“I think TikTok and social media can play a big role in helping businesses in local communities to thrive. It’s really nice to know that creators like me can play a small part in helping to boost the economy in my region, especially in the current economic climate.”
The UK cities leading high street retail growth over the past five years
Rank | City | Percentage increase from 2020-2024 |
1 | Aberdeen City | 82.1% |
2 | Barking and Dagenham | 45.1% |
3 | Milton Keynes | 36% |
4 | Spelthorne | 35.9% |
5 | Blackburn with Darwen | 32.5% |
6 | Erewash | 31.4% |
7 | Buckinghamshire | 31.4% |
8 | Hackney | 30.5% |
9 | Mansfield | 30.4% |
10 | Stockport | 29.8% |
How the growing retail scene is transforming UK communities
Over the past five years, cities across the UK have seen significant growth in retail businesses, bringing fresh products and valuable economic and social benefits. From family-run businesses to larger chain stores, they all help to create a sense of community and enhance local identity.
Increased retail also drives employment and tourism within cities, with some local businesses gaining popularity on social media, such as TikTok, leading visitors from across the nation to pay a visit.
Aberdeen is the City with the highest retail growth in the UK since 2020
The retail scene in Aberdeen City is thriving, with an impressive 82% increase in store openings in the past five years - the most out of all cities in the UK.
The Aberdeen City Council’s Empty Shops Grant Scheme has meant that roughly 750sqm of vacant floor space on the city's major shopping thoroughfare, Union Street, has been renovated thanks to £1.1million of private investment. The scheme has proved to increase footfall and create a large number of flexible part-time and full-time jobs.
Aberdeen City Council comments on the city's high retail growth
We spoke with Aberdeen City Council Finance and Resources convener Councillor Alex McLellan, who said: “It is good to hear that Aberdeen has the highest percentage increase in retail businesses over the past five years in the country.
“Aberdeen City Council is regenerating the city centre through a multi-million investment in the City Centre and Beach Masterplan creating attractions such as a new market building and new streetscaping, as well as helping businesses through initiatives such as the Union Street Empty Shops Grant Scheme.
“We want our city to be a thriving and attractive place to live, work, and visit and it’s good to see increasing numbers of retail businesses.”
The UK cities with the most growth in Hairdressing and Beauty businesses in the past five years
Rank | Major town and city | Percentage increase from 2020-2024 |
1 | Chatham | 83.3% |
2 | Oldham | 77.8% |
3 | Watford | 52.9% |
4 | Gillingham | 44.4% |
5 | Plymouth | 43.5% |
6 | Luton | 42.9% |
7 | Redditch | 42.9% |
8 | Rochdale | 41.7% |
9 | Gateshead | 40% |
10 | Harlow | 37.5% |
The importance of hairdressing and beauty businesses on UK highstreets
Hairdressing and beauty businesses play an essential role on high streets. Unlike other retail industries which have the option to go online, salons thrive in physical spaces and require a face-to-face appointment. With 2.8M posts under #hairstylist on TikTok and 70.7M posts related to the topic “Beauty therapy” hair and beauty trends are booming on social media proving their appeal remains strong in 2024. This is why it comes as no surprise that more hair and beauty locations are popping up on our UK high streets.
Chatham is leading the UK with the highest growth in hairdressing and beauty businesses
Chatham leads the UK major towns and cities, with the most hairdressing and beauty business openings, seeing an 83% increase in new locations since 2020. Each month in Chatham there are an average of 2,460 Google searches made for “hairdressers” and related terms, such as “hairdressers near me”. Oldham followed closely with the second most increased hairdressing and beauty locations (77.8%+).
The UK cities with the most growth in takeaway and mobile food businesses in the past five years
Rank | Major town and city | Percentage increase from 2020-2024 |
1 | Harlow | 50% |
2 | Sutton Coldfield | 50% |
3 | Worthing | 46.2% |
4 | Warrington | 45% |
5 | Hemel Hempstead | 44.4% |
6 | Watford | 37.5% |
7 | Bedford | 36.4% |
8 | High Wycombe | 35.7% |
9 | Slough | 35.3% |
10 | Doncaster | 33.3% |
Takeaways have become a staple on UK high streets, catering to the British appetite for quick and convenient dining. The surge in takeaway food shops and mobile stands is likely fueled by the growth of third-party delivery services like Uber Eats, Deliveroo, and Just Eat, which connect smaller businesses with a larger customer base. This boom not only satisfies busy lifestyles but also supports local businesses, adding vibrancy to UK high streets.
Our research shows that Harlow, Essex and Sutton Coldfield, Birmingham are the UK cities where takeaway food shops and mobile food stands have increased the most since 2020, both seeing a 50% increase in opening since 2020.
The UK cities where pubs and bars are booming
Rank | Major town and city | Percentage increase from 2020-2024 |
1 | Mansfield | 62.5% |
2 | Chatham | 50% |
3 | Basildon | 33.3% |
4 | Chester | 22.2% |
5 | Blackpool | 20% |
6 | Cheltenham | 20% |
7 | Walsall | 20% |
8 | Rotherham | 18.2% |
9 | Coventry | 17.4% |
10 | Basingstoke | 16.7% |
Public houses (Pubs) and bars have faced significant challenges in recent years. The pandemic strained the industry as restrictions kept people from gathering at their local spots, and with more commuters now working from home, the traditional after-work drink became less common. Rising taxes and a dip in disposable income added to these pressures. Yet despite a -2.6 % decrease in pubs and bars across the UK, some cities oppose this trend and are seeing a surge in industry openings.
Leading the way is Mansfield, with a remarkable 62.5% increase in new pub and bar openings since 2020, closely followed by Chatham with a 50% rise.
Enhance your Point Of Sale system with SumUp
Whether you’re an established retailer, a restaurant owner, or preparing to open a café on the high street, having the right point of sale (POS) system can make all the difference in creating a smooth and enjoyable experience for your customers.
SumUp’s POS Lite is designed to support the unique needs of businesses in retail, hospitality and beyond, helping you simplify daily tasks like managing your finances, streamlining tipping and digitally organising your inventory, ensuring that everything runs smoothly.
Methodology
Using government data from ONS and Nomisweb we identified what regions and cities across the UK had the highest increase and growth in various industries. We calculated the percentage increase and loss of the industries within each place from 2020 to 2024 (where data was available).