Update: October 2020 – London Retail

Equity market pricing has edged down in recent weeks following an uptick in virus cases and containment measures. Retail sales saw a rise, however the marked increase in internet sales suggest there is renewed anxiety about returning to the shops. Further restrictions by the UK government has heightened concerns in the hospitality sectors and delayed the return to the office for many office workers. A strong pick up in property market activity was recorded in September, up £1.3bn from the previous month. On a y/y basis however, levels remain down by 21%. London retailers in particular are fairing badly, with the lack of footfall from the office workers and tourists in which it has become reliant. Only 28% of retail rents have been collected, in comparison to 85% from office occupiers.