The UK trade sector has lost more than 140,000 jobs in 2019, making it one of the worst years in a quarter of a century, due to the great difficulties many brands have faced in growing electronic sales, according to a study published Monday.
In total, about 143,128 jobs were cut in British stores during 2019, or 2750 jobs per week, according to figures from the Retail Research Center.
This number significantly exceeds the number of jobs that were canceled in 2018 and reached 117,425 jobs.
This outcome is among the worst in a quarter of a century in the Kingdom's trade sector, and an indication of a serious crisis witnessed in the announcement of bankruptcy and restructuring of many brands that have vacated the commercial center in cities.
The study showed that the stores are facing high costs, a decrease in revenue and the loss of a portion of the market for online purchase.
The UK witnessed several resounding bankruptcies two years ago, similar to Debenhams stores, which were immediately bought by creditors, or House or Fraser, which was purchased by Sport Direct.
"These problems include many downtown stores and malls," said Joshua Bamfield, an official at the Center for Retail Trade Research.
"The weak growth in consumer spending since 2015 translated the growth in electronic sales at the expense of downtown stores," he added.
And due to weak demand, several brands found themselves under pressure from labor costs, from the value of rent to taxes and wages, which affected its financial strength and could lead to bankruptcy.
Marks and Spencer announced the closure of many stores.
The study showed pessimism for the year 2020 and expected the number of jobs to be cut, which could reach 171,000 if the government did not intervene to help the distributors.
British Prime Minister Boris Johnson, in particular, has promised to cut fees on commercial property to help stores in difficulty.