At shops in town or the country; in shopping centres or local high streets; small stores or large stores – retail crime has a huge impact on retailers and their businesses irrespective of their business size and locality. According to the BRC Retail Crime Survey 2021, there has been a seven per cent rise in retail crime in 2019/20 compared to 2018/19. The survey shows there were 455 incidents of violence or abuse each day in 2019/20.
The Retailer Against Crime (RAC) data says that over the past three months, 655 incidents were reported in July, 738 in August and 656 in September. Groceries, alcohol, and clothing remain the most targeted items. In September incidents reported have decreased slightly compared to August although the actual value stolen is only slightly down to £17,000 from £21,323 in the alcohol category, and the amount recovered that month was less than £3000 compared to August’s £5973. However, in the groceries category, the value stolen in September was up to £10,000 from £8,435 in August and the amount recovered was around £2,500 in September and £8,435 in August. All these figures show the loss faced by the small stores which have a huge impact on the overall growth of the retail sector in the UK.
TEN MOST TARGETED ITEMS IN SEPTEMBER 2021
RAC September 2021 statistic.
During September, it was noted that “change ringing” was on the increase, with a well-known travelling team targeting RAC members. Change ringing is the crime of deception by confusing and distracting staff to obtain cash dishonestly using sleight of hand.
The method is ultimately the same and used when making purchases and changing notes. RAC explained that in this pattern of crime, “the customer purchases a small item, when the till is open, they ask for change, for example, £20 notes for £10 notes. The customer then confuses the cashier by asking questions often speaking in broken English and counts the notes in front of the cashier. With the cashier distracted the customer skims off a portion of the notes by sleight of hand un-noticed by the cashier. The notes skimmed off are then placed inside an open pocket in the customer's handbag. The customer then cancels the change request and receives the original amount tendered leaving the store till short.”
VALUE STOLEN & VALUE RECOVERED IN SEPTEMBER 2021
RAC September 2021, statistic
RAC urged retailers, “If you are distracted at till point by a customer asking to re-check the cash tendered, always stop the transaction immediately and seek assistance.”
According to the BRC, the cost of crime rose to a record £1.3bn in 2019/20, of which customer theft accounted for £935m. “Retailers are not standing idly by, having spent over £1.1bn on fighting crime. And this brings the total cost to retailers to almost £2.5bn. These are not victimless crimes. This represents money that could otherwise be used to improve facilities, raise wages, and improve the offer to consumers,” said the BRC’s latest, 2021 report.
In the first six months of this year, over 45 per cent of theft reported to RAC has been committed by individuals who travel extensively throughout the UK and are often linked to serious and organised crime. RAC stated a few examples from 2021 that included incidents reported between 19/01/21 & 21/02/21 committed by two individuals targeting baby milk; incidents reported between Nov 2019 and Aug 2021 committed by a team who are responsible for distraction theft/change ringing; and incidents reported during 2021 and previously committed by a gang from Glasgow which is responsible for bulk thefts throughout the UK.
The overall cost of crime, taking into account both losses and crime prevention costs for retail, has risen year on year and now stands at £2.5 billion, up from £2.2 billion last year. This includes crime prevention spending of £1.2 billion and losses to crime of £1.3 billion, of which customer theft makes up £935 million. Customer theft was nominated by eight in ten retailers as a top-three issue.
The £935 million lost to customer theft in the latest year represents over 70 per cent of the total cost and a massive 96 per cent of actual incidents. Customer theft has increased year on year since 2016-17. Employee theft was the second-highest in terms of cost at nearly £285 million. Robbery and burglary taken together saw a reduction to £25 million (more householders were at home during lockdown).
Cost of crime to retail sector
The rise in the cost of customer theft to nearly £1 billion was far in excess of any other cost and cannot be set aside in overall thinking about crime rates and prevention. In the BRC survey, this element was nominated in overall terms a close second to violence.
“Against this background, only six per cent of cases ever reach the courts, and only three per cent ever get prosecuted as aggravated offences,” said the BRC. “That is one reason for under-reporting with only 54 per cent of cases reported to police in the first place. While sometimes lack of evidence may be the reason, failure to prosecute or take the time even to investigate properly leaves victims believing their experience does not matter to the authorities and leaves the perpetrators to strike again, sometimes in the same store in the same circumstances.”
It further explained that theft is coupled with a perception that the police losses under under £200 are just part of the cost of doing business and that, even if prosecuted, the sentence will be relatively light: “Some even appear to think that it is a problem for shops themselves to overcome rather than for any law enforcement. Our own evidence from the survey is strongly supported by the submissions to the Government’s Call for Evidence on retail violence and abuse. Lack of police response; lack of prosecution; a perception in the media that low-level crime would be ignored by police; the lack of police resources and numbers; a greater willingness by gangs and addicts to use violence in pursuit of a theft; general societal issues – all featured in the responses.”
To understand the exact number of crimes against businesses, the government has announced that it will release the data from the year ending March 2021. The Commercial Victimisation Survey, which looks at crime against businesses in England and Wales in the wholesale and retail sector will be released on 31 March next year.
Types of retail crime:
Retail businesses may be at risk from certain types of crime. To protect yourself be aware of these:
Shoplifting is a common crime committed against retail business. It involves stock being stolen by a thief posing as a customer. It may be committed by individuals or organised groups.
Money fraud is when criminals use an illegal method to pay for goods. This may include counterfeit cash, stolen credit cards or fraudulent cheques.
Checkout fraud includes a number of tactics where criminals avoid paying in full for goods when paying at the tills. Examples include swapping barcodes or price stickers for a less expensive item or deliberately failing to swipe a product at a self-checkout.
Refund fraud is another crime that can happen at the till. It can take the form of an offender attempting to return a stolen item in exchange for money or credit, or falsifying receipts.
Burglary can be committed against retail stores, usually when the shop is closed. These 'smash and grab' crimes involve forcing entry and stealing merchandise.
Abuse can be aggressive or violent behaviour of customers towards shop workers.
Vandalism is also a risk for retail businesses. It could include graffiti, smashed windows or damaged signs.
Online scams are a risk for retailers, particularly those who sell online or hold customer data digitally. They could become a victim of online fraud or cyber security breaches.
Measures to protect your business:
Retail crime’s impact on the business can be reduce by taking reasonable steps. Measures should aim to make it tough to commit a crime and increase the risk of the offender being caught.
Premises security- Taking steps to secure your retail premises can help protect against vandalism, burglary and other crimes. Measures that can be taken include alarm systems, security lighting or shutters.
Money security- The risk of cash theft can be reduced by reducing the amount of money kept on premises. To prevent payment fraud check for counterfeit notes, using a secure chip and pin system and inspecting cheques carefully.
Theft prevention- To prevent theft may include regular stock checks, locked cabinets for high value items and CCTV.
Cyber security- As an online retail business, you should ensure that your point-of-sale system is as secure as possible. If you sell online, you could be particularly at risk of online scams, malware and viruses.
The UK retail sector is bracing for a challenging but opportunity-filled 2025, according to Jacqui Baker, head of retail at RSM UK. While the industry grapples with rising costs and heightened crime, advancements in artificial intelligence and a revival of the high street offer potential pathways to growth, she said.
The latest Budget delivered a tough blow to the retail sector, exacerbating existing financial pressures. Retailers, who already shoulder a significant portion of business rates and rely heavily on a large workforce, face increased costs from rising employers’ National Insurance Contributions.
“Higher costs will also eat into available funds for future pay rises, benefits or pension contributions – hitting retailers’ cashflow in the short term and employees’ remuneration in the longer term,” Baker said.
“Retailers must get creative to manage their margins and attract footfall and spend, plus think outside the box to incentivise employees if they’re to hold onto talented staff.”
On the brighter side, falling inflation and lower interest rates could ease operational costs and restore consumer confidence, potentially driving retail spending upward.
High street resurgence
Consumers’ shopping habits are evolving, with a hybrid approach blending online and in-store purchases. According to RSM UK’s Consumer Outlook, 46 per cent of consumers prefer in-store shopping for weekly purchases, compared to 29 per cent for online, but the preference shifts to 47 per cent for online shopping for monthly buys and to 29 per cent for in-store. The most important in-store aspect for consumers was ease of finding products (59%), versus convenience (37%) for online.
“Tactile shopping experiences remain an integral part of the purchase journey for shoppers, so retailers need to prioritise convenience and the opportunity for discovery to bring consumers back to the high street,” Baker noted.
The government’s initiative to auction empty shops is expected to make brick-and-mortar stores more accessible to smaller, independent retailers, further boosting high street revival, she added.
A security guard stands in the doorway of a store in the Oxford Street retail area on December 13, 2024 in London, EnglandPhoto by Leon Neal/Getty Images
Meanwhile, retail crime, exacerbated by cost-of-living pressures, remains a significant concern, with shoplifting incidents reaching record highs. From organised social media-driven thefts to fraudulent delivery claims, the methods are becoming increasingly sophisticated.
“Crime has a knock-on effect on both margins and staff morale, so while the government is cracking down on retail crime, retailers also have a part to play by investing in data to prevent and detect theft,” Baker said.
“Data is extremely powerful in minimising losses and improving the overall operational efficiency of the business.”
AI as a game-changer
Artificial intelligence is emerging as a transformative force for the retail sector. From personalised product recommendations and inventory optimisation to immersive augmented reality experiences, AI is reshaping the shopping landscape.
“AI will undoubtedly become even more sophisticated over time, creating immersive and interactive experiences that bridge the gap between online and in-store. Emerging trends include hyper-personalisation throughout the entire shopping journey, autonomous stores and checkouts, and enhanced augmented reality experiences to “try” products before buying,” she said, adding that AI will be a “transformative investment” that determines the long-term viability of retail businesses.
The Amazon Fresh store in Ealing, LondonPhoto: Amazon
As financial pressures ease, sustainability is climbing up the consumer agenda. RSM’s Consumer Outlook found 46 per cent would pay more for products that are sustainably sourced, up from 28 per cent last year; while 44 per cent would pay more for products with environmentally friendly packaging, compared to 36 per cent last year.
“However, ESG concerns vary depending on age and income, holding greater importance among high earners and millennials. With financial pressures expected to continue easing next year, we anticipate a renewal of sustainability and environmentally conscious spending habits,” Baker noted.
“Retailers ought to tap into this by understanding the preferences of different demographics and most importantly, their target market.”
Southend-on-Sea City Council officials have secured food condemnation orders from Chelmsford Magistrates Court, resulting in the seizure and destruction of 1,100 unauthorised soft drinks.
The condemned drinks, including Mountain Dew, 7-UP, Mirinda, and G Fuel energy drinks, were found during routine inspections of food businesses across Southend by the council’s environmental health officers.
Council said these products contained either banned additives like Calcium Disodium EDTA or unauthorised novel ingredients such as Potassium Beta-hydroxybutyrate.
Calcium Disodium EDTA has been linked to potential reproductive and developmental effects and may contribute to colon cancer, according to some studies. Potassium Beta-hydroxybutyrate has not undergone safety assessments, making its inclusion in food products unlawful.
Independent analysis certified that the drinks failed to meet UK food safety standards. Magistrates ordered their destruction and ruled that the council's costs, expected to total close to £2,000, be recovered from the businesses involved.
“These products, clearly marketed towards children, contain banned or unauthorised ingredients. Southend-on-Sea City Council will always take action to protect the public, using enforcement powers to ensure unsafe products are removed from sale,” Cllr Kevin Robinson, cabinet member for regeneration, major projects, and regulatory services, said.
“As Christmas approaches, we hope this sends a strong message to businesses importing or selling such products: they risk significant costs and possible prosecution.”
The council urged residents to check labels when purchasing imported sweets and drinks, ensuring they include English-language details and a UK importer's address.
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A customer browses clothes inside Charity Super.Mkt at Brent Cross Shopping centre in north London on, December 17, 2024
Bursting with customers one afternoon the week before Christmas, a second-hand charity shop in London's Marylebone High Street looked even busier than the upscale retailers surrounding it.
One man grabbed two puzzle sets and a giant plush toy as a present for friends, another picked out a notebook for his wife.
“Since the end of September, we've seen a huge uplift in people coming to our shops and shopping pre-loved,” said Ollie Mead, who oversees the shop displays - currently glittering with Christmas decorations - for Oxfam charity stores around London.
At the chain of second-hand stores run by the British charity, shoppers can find used, or "pre-loved", toys, books, bric-a-brac and clothes for a fraction of the price of new items.
Popular for personal shopping, charity stores and online second-hand retailers are seeing an unlikely surge in interest for Christmas gifts, a time of year often criticised for promoting consumerism and generating waste.
A report last month by second-hand retail platform Vinted and consultants RetailEconomics found UK customers were set to spend £2 billion on second-hand Christmas gifts this year, around 10 per cent of the £20 billion Christmas gift market.
A woman browses some of the Christmas gift ideas in a store on December 13, 2024 in London, England. Photo by Leon Neal/Getty Images
In an Oxfam survey last year, 33 per cent were going to buy second-hand gifts for Christmas, up from 25 percent in 2021.
“This shift is evident on Vinted,” Adam Jay, Vinted's marketplace CEO, told AFP.
“We've observed an increase in UK members searching for 'gift' between October and December compared to the same period last year.”
According to Mead, who has gifted second-hand items for the last three Christmas seasons, sustainability concerns and cost-of-living pressures are “huge factors”.
Skimming the racks at the central London store, doctor Ed Burdett found a keychain and notebook for his wife.
“We're saving up at the moment, and she likes to give things another life. So it'll be the perfect thing for her,” Burdett, 50, told AFP.
“It's nice to spend less, and to know that it goes to a good place rather than to a high street shop.”
'Quirky, weird
Wayne Hemingway, designer and co-founder of Charity Super.Mkt, a brand which aims to put charity shops in empty shopping centres and high street spaces, has himself given second-hand Christmas gifts for “many, many years”.
“When I first started doing it, it was classed as quirky and weird,” he said, adding it was now going more “mainstream”.
Similarly, when he first started selling second-hand clothes over 40 years ago, “at Christmas your sales always nosedive(d) because everybody wanted new”.
Now, however, “we are seeing an increase at Christmas sales just like a new shop would”, Hemingway told AFP.
“Last weekend sales were crazy, the shop was mobbed,” he said, adding all his stores had seen a 20-percent higher than expected rise in sales in the weeks before Christmas.
“Things are changing for the better... It's gone from second-hand not being what you do at Christmas, to part of what you do.”
Young people are driving the trend by making more conscious fashion choices, and with a commitment to a “circular economy” and to “the idea of giving back (in) a society that is being more generous and fair,” he said.
At the store till, 56-year-old Jennifer Odibo was unconvinced.
Buying herself a striking orange jacket, she said she “loves vintage”.
But for most people, she confessed she would not get a used gift. “Christmas is special, it needs to be something they would cherish, something new,” said Odibo.
“For Christmas, I'll go and buy something nice, either at Selfridges or Fenwick,” she added, listing two iconic British department stores.
Hemingway conceded some shoppers “feel that people expect something new” at Christmas.
“We're on a journey. The world is on a journey, but it's got a long way to go,” he added.
According to Tetyana Solovey, a sociology researcher at the University of Manchester, “for some people, it could be a bit weird to celebrate it (Christmas) with reusing.”
“But it could be a shift in consciousness if we might be able to celebrate the new year by giving a second life to something,” Solovey told AFP.
“That could be a very sustainable approach to Christmas, which I think is quite wonderful.”
Lancashire Mind’s 11th Mental Elf fun run was its biggest and best yet – a sell-out event with more than 400 people running and walking in aid of the mental charity, plus dozens more volunteering to make the day a huge success.
The winter sun shone on Worden Park in Leyland as families gathered for either a 5K course, a 2K run, or a Challenge Yours’Elf distance which saw many people running 10K with the usual running gear replaced with jazzy elf leggings, tinsel and Christmas hats.
And now the pennies have been counted, Lancashire Mind has announced that the event raised a fantastic £17,000.
This amount of money allows Lancashire Mind to deliver, for example, its 10-week Bounce Forward resilience programme in eight schools, reaching more than 240 children with skills and strategies that they can carry with them throughout their lives, making them more likely to ‘bounce forward’ through tough times.
The event was headline sponsored by SPAR for a third year through its association with James Hall & Co. Ltd, SPAR UK’s primary retailer, wholesaler, and distributor for the North of England.
“On behalf of the entire team at Lancashire Mind, we want to extend a heartfelt thank you to the 400+ incredible participants who joined us for Mental Elf 2024!” said Organiser Nicola Tomkins, Community and Events Fundraiser at Lancashire Mind.
“Your support, energy and commitment to raising awareness for mental health makes all the difference. Together, we've taken another important step towards breaking the stigma around mental health and promoting wellbeing for all in our community. We couldn't have done it without you!”
Worden Hall became the hub of the event where people could enjoy music from the Worldwise Samba Drummers and BBC stars Jasmine and Gabriella T, plus lots of family friendly activities and a chance to meet Father Christmas. Pets also got in on the act in the best dressed dog competition.
Lancashire Mind CEO David Dunwell said: “It was heart-warming day, full of community spirit and festive cheer, but with a serious aim to raise funds for mental health.
“We are so grateful to everyone who bought a ticket and fundraised or donated to help us smash our target. The money raised goes directly to supporting Lancashire Mind’s life-changing mental health services. These funds help provide wellbeing coaching, support groups, and educational programmes to individuals and families in need of mental health support in our community.”
The concept of Mental Elf was created by Lancashire Mind and news of the event has spread right across the country in recent years, with around 40 other local Mind charities hosting a similar event in 2024.
Lancashire schools were also encouraged to host their own Mental Elf-themed event this year, whether that was a run, bake sale or dress up day, and raised more than £1,000 in total.
Philippa Harrington, Marketing Manager at James Hall & Co. Ltd, said: “There was a lovely festive feel in the air at Mental Elf and we were delighted to see even more individuals, families, and canine companions taking part in its new home of Worden Park.
“We are also very pleased to see the uptake that Mental Elf has had in schools, and congratulations go to the Lancashire Mind team for taking it to new participants and for raising a fantastic amount of money for an important cause.”
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A woman walks past a window display promoting an ongoing sale, on December 13, 2024 in London, England.
UK retail sales rose less than expected in the runup to Christmas, according to official data Friday that deals a fresh blow to government hopes of growing the economy.
Separate figures revealed a temporary reprieve for prime minister Keir Starmer, however, as public borrowing fell sharply in November.
The updates follow news this week of higher inflation in Britain - an outcome that caused the Bank of England on Thursday to leave interest rates unchanged.
Retail sales by volume grew 0.2 per cent in November after a drop of 0.7 per cent in October, the Office for National Statistics said Friday.
That was less than analysts' consensus for a 0.5-percent gain.
"It is critical delayed spending materialises this Christmas to mitigate the poor start to retail's all-important festive season," noted Nicholas Found, senior consultant at Retail Economics.
"However, cautiousness lingers, slowing momentum in the economy. Households continue to adjust to higher prices (and) elevated interest rates."
He added that consumers were focused on buying "carefully timed promotions and essentials, while deferring bigger purchases".
The ONS reported that supermarkets benefited from higher food sales.
"Clothing stores sales dipped sharply once again, as retailers reported tough trading conditions," said Hannah Finselbach, senior statistician at the ONS.
Retail sales rose 0.2% in November 2024, following a fall of 0.7% in October 2024.
Growth in supermarkets and other non-food stores was partly offset by a fall in clothing retailers.
The Labour government's net borrowing meanwhile dropped to £11.2 billion last month, the lowest November figure in three years on higher tax receipts and lower debt-interest, the ONS added.
The figure had been £18.2 billion in October.
"Borrowing remains subject to upside risks... due to sticky interest rates, driven by markets repricing for fewer cuts in 2025," forecast Elliott Jordan-Doak, senior UK economist at Pantheon Macroeconomics.
Jacqui Baker, head of retail at RSM UK and chair of ICAEW’s Retail Group, commented that the later than usual Black Friday weekend meant November’s retail sales figures saw only a slight uptick as cost-conscious consumers held off to bag a bargain.
“Despite many retailers launching Black Friday offers early, November trade got off to a slow start which dragged on for most of the month. This was driven by clothing which fell to its lowest level since January 2022. The only saving grace was half-term and Halloween spending helped to slightly offset disappointing sales throughout November,” Baker said.
“As consumer confidence continues to build and shoppers return to the high street, this should translate into more retail spending next year. However, there are big challenges coming down the track for the sector, so retailers will be banking on a consumer-led recovery to come to fruition so they can combat a surge in costs.”
Thomas Pugh, economist at RSM UK, added: “The tick up in retail sales volumes in November suggests that the stagnation which has gripped the UK economy since the summer continued into the final months of the year.
“While the recent strong pay growth numbers may make the Bank of England uncomfortable, it means that real incomes are growing at just under 3 per cent, which suggests consumer spending should gradually rise next year. However, consumers remain extremely cautious. The very sharp drop in clothing sales in particular could suggest that consumers are cutting back on non-essential purchases.
“We still expect a rise in consumer spending next year, due to strong wage growth and a gradual decline in the saving rate, to help drive an acceleration in GDP growth. But the risks are clearly building that cautious consumers choose to save rather than spend increases in income, raising the risk of weaker growth continuing through the first half of next year.”