A major shoe chain confirmed it has closed 39 stores during “challenging” conditions on the high street. Shoe Zone said its estate fell from 297 to 269 in the 52 weeks to September 2025, having closed nearly 40 stores and only opened 11 new sites in that time.
Some 21 stores closed within the first half of the financial year alone, and bosses at Shoe Zone today said they faced a “challenging year”, highlighting pressures from Rachel Reeves' October Budget when The government announced it would hike National Insurance contributions for employers. The retailer posted its revenue fell by 7.6% when compared to the same period of last year, to £149.1 million.
In an update this morning, chairman Charles Smith said: “This was a challenging year, particularly in the second half, as consumer confidence fell following the Government's October 2024 budget.
“With persistent inflation, higher interest rates and reduced levels of disposable income all contributing to general negative economic and consumer sentiment in the UK.
“Sales were good when there was a clear reason to buy, such as the warm summer and the Back-To-School season. However, overall discretionary spending remains subdued as consumers exercise greater caution in their expenditure.”
The full list of closed locations has not yet been released, but the retailer closed stores in Bexhill, Bournemouth and West Sussex this year.
Shoe Zone confirmed it will refit six locations during the 52 weeks to September 2025.
In May, the chain said it had to close “unviable” sites following “challenging trading conditions” in the first two months of the financial year.
Citing the October Budget, the retailer said: “These additional costs have resulted in the planned closure of a number of stores that have now become unviable.”
Shoe Zone is not the only brand to speak out about the pressures of spiraling costs. New Look, WHSmith, and major banks have all retreated from the high street this year.
Retailers are now anxious to find out what Chancellor Rachel Reeves will announce about business rates in the upcoming Budget.
The Co-op called on Labor to provide the maximum levels of relief to small shops, warning that nearly 62,000 small high street shops could shut and 150,000 jobs could be at risk without urgent business rates reform.