Retail crime in the UK is “spiralling out of control”, hitting its highest level on record, according to the British Retail Consortium (BRC). Theft alone is now costing retailers £2.2 billion a year and the crime prevention bill for stores is £1.8 billion.
New figures released Thursday (30 January) from the industry body’s Annual Crime Survey reveal the depths of the problem, with violence and abuse incidents in 2023/24 climbing to over 2,000 a day, up from 1,300 the year before. This is more than three times the 2020 level when there were 455 incidents a day, although lockdown would be a factor there.
Incidents included racial or sexual abuse, physical assault or threats with weapons, with the latter adding up to 70 incidents a day, more than double the previous year.
Theft has reached an all-time high with over 20 million incidents (over 55,000 a day) costing retailers £2.2 billion in 2023/24 (up from £1.8 billion the previous year).
It noted many more incidents are linked to organised crime, with gangs systematically targeting stores across the country, “stealing tens of thousands of pounds worth of goods and rotating around multiple stores”.
“With the total number of incidents continuing to grow, and their nature becoming increasingly aggressive, satisfaction with the police remains low”, the report said, citing 61% of respondents describing the police response to incidents as ‘poor’ or ‘very poor’.
Of the remaining, 29% rated the response as ‘fair’, a further 6% said ‘good’, and 3% described it as ‘excellent’, the first time in five years that any retailers have rated it as such.
Unsurprisingly, the amount spent on crime prevention is also at a record high, with retailers investing £1.8 billion on measures such as CCTV, more security personnel, anti-theft devices and body worn cameras, up from £1.2 billion the previous year.
This takes the total cost of crime to an eye-watering £4.2 billion, up from £3.3 billion. It adds to the wider cost pressures retailers already face, further limiting investment and pushing up prices for customers everywhere.
The report noted that the government has pledged to address the rise in retail crime through stronger measures to tackle shoplifting and anti-social behaviour, including removing the £200 threshold of ‘low level’ theft. It also announced in the King’s Speech it would introduce a standalone offence for assaulting a retail worker.
“Retailers will be looking closely at the details of the Crime and Policing Bill to ensure that its protections apply to all customer-facing retail workers, from those behind the till to delivery drivers”, the report said.
Helen Dickinson, BRC chief executive, said:“Every day this continues, criminals are getting bolder and more aggressive. We owe it to the three million hardworking people working in retail to bring the epidemic of crime to heel. No one should go to work in fear.
“With little faith in police attendance, it is no wonder criminals feel they have licence to steal, threaten, assault and abuse. Retailers are spending more than ever before, but they cannot prevent crime alone. We need the police to respond to and handle every reported incident appropriately.”
Chris Brook-Carter, chief executive of retail industry charity Retail Trust, added: “Almost half of the retail workers we’ve surveyed told us they currently fear for their safety and nearly two thirds are stressed and anxious going to work due to this unacceptable level of retail crime. People are contacting our helpline in their thousands to report horrifying incidents of abuse and violence and many say that they are now at breaking point.
“Retailers are taking the threat to their staff’s physical safety extremely seriously and more and more of them are working with the Retail Trust to reduce the terrible toll it is having on their people’s mental wellbeing. But stronger measures are clearly needed to prevent this criminal behaviour from happening in the first place.”
Deckers Outdoor on Thursday beat third-quarter sales estimates on robust holiday demand for its Hoka running shoes, but an in-line annual forecast caused the footwear maker’s shares to tumble 17% in extended trading.
Hoka shoes with their oversized soles have been gaining market share from brands such as Nike in the sportswear category. The brand, which retails for up to $300 in the United States, have also enjoyed full-price sales.
This drove up the company’s third-quarter revenue by 17% to $1.83 billion, beating analysts’ average estimate of $1.73 billion, according to data compiled by LSEG. Deckers also raised its annual net sales forecast for a second time this year.
“The guidance looks pretty conservative and considering the beat, it’s bit of a negative read into the out quarter,” said Drake MacFarlane, analyst at MScience.
The popularity of the Hoka shoes and the success of the company’s Ugg boots and sandals has helped it post double-digit revenue growth for nearly seven quarters.
The company now expects annual net sales to increase about 15% to $4.9 billion, compared with its prior expectation of about 12% growth to $4.8 billion. Analysts estimated an increase of 14.9% to $4.93 billion.
Deckers expects annual earnings per share of $5.75 to $5.80, compared with its prior forecast of $5.15 to $5.25.
Amazon.com is increasing its advertising on billionaire Elon Musk’s social media platform X, the Wall Street Journal reported on Thursday, citing people familiar with the matter.
The major shift comes after the e-commerce giant withdrew much of its advertising from the platform more than a year ago due to concerns over hate speech.
In 2023, Apple also pulled all of its advertising from X and has recently been in discussions about testing ads on the platform, the report said.
Several ad agencies, tech and media companies had also suspended advertising on X following Musk’s endorsement of an antisemitic post that falsely accused members of the Jewish community of inciting hatred against white people.
Monthly U.S. ad revenue at social media platform X has declined by at least 55% year-over-year each month since Musk bought the company, formerly known as Twitter, in October 2022. He had acknowledged that an extended boycott by advertisers could bankrupt X.
Musk has become one of the most influential figures following President Donald Trump‘s re-election. He now leads the Department of Government Efficiency, which aims to cut $2 trillion in government spending.
Italian luxury goods group Salvatore Ferragamo said on Thursday its revenue dropped by 4% at constant currencies in the fourth quarter, flagging “encouraging results” from its direct-to-consumer sales which were overall flat in the last three months of the year.
Sales in the North American region, which accounted for 29% of total revenue, were up 6.3% in the quarter. However, the Asia Pacific area saw a 25% drop in revenue at constant exchange rates.
The slowdown in global demand for luxury goods, especially in China, has made the group’s turnaround harder. Overall preliminary revenues reached 1.03 billion euros in 2024, in line with analysts’ estimates, according to an LSEG consensus.
“January shows an acceleration in our DTC channel’s growth, albeit supported by the different timing of the Chinese New Year and a favourable comparison base versus last year”, Chief Executive Marco Gobbetti said in a statement.