What's happened
Retail sales in Scotland grew just 0.4% in December, below the three- and twelve-month averages, with inflation-adjusted sales declining 0.2%. Footfall was weak across the UK, with declines in shopping centres and retail parks, reflecting ongoing economic pressures and changing shopping habits.
What's behind the headline?
The weak December sales and footfall figures highlight a persistent shift in consumer behavior driven by economic pressures. Retailers are experiencing a 'cost of living' squeeze, leading to more targeted shopping and reduced overall visits. The contrast between record visitor numbers at Glasgow's out-of-town centres and declining overall footfall suggests a polarization in shopping preferences, with consumers favoring experiences over traditional retail. This trend indicates that physical retail must innovate to remain relevant, focusing on experiences and convenience. The ongoing decline in footfall across all regions and retail formats signals a structural change in the retail landscape, which will likely accelerate as economic pressures persist. Retailers who adapt to these changing patterns—by offering more experiential, value-driven options—will be better positioned to survive and thrive in 2026.
What the papers say
The Scotsman reports that December retail sales in Scotland increased by only 0.4%, below the three- and twelve-month averages, with inflation-adjusted sales declining 0.2%. Industry leaders warn of a 'business rates hangover' impacting future performance. Meanwhile, Glasgow's out-of-town shopping centres, Silverburn and Glasgow Fort, recorded record visitor numbers in 2025, with Silverburn reaching 16.5 million visits, a 10% increase from 2024, and Glasgow Fort seeing an 8% rise. These contrasting trends suggest a complex retail environment where some destinations thrive due to new brands and experiences, while overall footfall and sales remain subdued across the broader market, as detailed by Scott Reid in The Scotsman.
How we got here
The Scottish retail sector has faced a challenging 2025, with consumer spending hampered by rising living costs and economic uncertainty. Despite record visitor numbers at Glasgow's out-of-town shopping destinations, overall footfall and sales have declined, reflecting broader shifts in shopping behavior and economic pressures.
Go deeper
Common question
-
Why Are Retail Visits Down in the UK and Scotland?
Retail footfall across the UK and Scotland has been declining, with recent data showing drops in shopping visits despite some record-breaking individual venues. This trend raises questions about what’s driving fewer shoppers to stores and what it means for local businesses. Are economic pressures the main factor? How are consumer habits changing? And is there hope for recovery? Below, we explore these questions and more to help you understand the current retail landscape.
-
Why Are UK Retail Sales Still Weak After the Holidays?
The UK retail sector is showing signs of struggle even after the holiday shopping season. Despite some shopping centres seeing record visitor numbers, overall sales and footfall remain subdued. This raises questions about changing shopping habits, economic pressures, and what the future holds for retail in the UK. Below, we explore the key reasons behind the ongoing retail slowdown and what it means for consumers and businesses alike.
-
Why Did Scottish Retail Sales Perform Weakly Over Christmas?
The recent Christmas period saw surprisingly subdued retail sales across Scotland, raising questions about the health of the retail sector and the broader economy. Despite some shopping destinations thriving, overall sales figures tell a different story. Below, we explore the reasons behind this slowdown, what it means for the UK economy, and how changing shopping habits and inflation are influencing retail markets today.
More on these topics
-
Helen Dickinson OBE is a British accountant and executive, and the current Chief Executive Officer of the British Retail Consortium, a post she has held since January 2013.
-
The British Retail Consortium is a trade association in the United Kingdom.
-
David Lonsdale is an English actor. He is best known for playing David Stockwell in the ITV 1960's police drama series Heartbeat.