Retailers in London’s West End are preparing for a successful Christmas period this year as a return to pre-2007 sales levels is predicted.
The New West End Company, which represents more than 600 businesses operating on Oxford Street, Bond Street and Regent Street, predicts a 1.2% increase in sales during the last six weeks of 2015. The rise would take sales in the region back to a level not seen since 2007.
The company attributed the rise to Boxing Day falling on a weekend and expected that Black Friday deals would also boost footfall. It anticipates that £2.3bn will be spent in the area during Christmas 2015.
The New West End Company represents more than 600 businesses in London’s West End. It says that an extra 4,500 members of staff will be hired to work over this year’s festive period to cope with demand.
Jace Tyrrell, Deputy Chief Executive at The New West End Company, commented: “The West End is an economic powerhouse for the UK, making a vital contribution to GDP in the last year alone. When every hour during our festive season is worth a collective £5.1m to West End retailers, it is easy to understand why the season is so tremendously important to the UK’s economic well-being.”
However, while spending is set to increase, footfall is expected to drop by 1.5% thanks to economic instability in China and Russia. Chinese and Russian tourists usually make up a significant percentage of tourists in London.
Tyrell added: “As we entered 2015, many retailers feared the worst; tough trading conditions and an uncertain political environment made prospects appear very bleak. And yet as we head towards our busiest trading period, we now do so with confidence.”