Cambridge named UK's top retail hub in 2025 as big-city footfall climbs

Cambridge has been named the top UK retail hub in Newmark's Vitality Rankings for 2025, the latest annual assessment of where shoppers are spending across Britain. The compact university city leads the list thanks to a blend of affluence, a growing student population and a lively night-time economy that sustains foot traffic and supports higher average baskets.

Chelsea surged from 10th to second place, buoyed by an aspirational mix of high-end shops, pubs and bars along the King's Road and Sloane Square, with the Saatchi Gallery continuing to anchor the area as a cultural draw. Kingston upon Thames ranked third, followed by Bath city centre, the Bluewater shopping centre in Dartford, Wimbledon Village and Milton Keynes. Knightsbridge, Leeds and Westfield Stratford City also made the top 10. The report notes that larger cities and big shopping destinations posted the biggest gains in performance and footfall this year, aided by improving office attendance and a shift toward bigger shopping trips rather than frequent top-up visits. Canary Wharf and King’s Cross in London were highlighted for notable improvements, supported by strong transport links and heavy worker footfall.

Smaller markets also gained traction, with Bath, Brighton and Edinburgh continuing to rise as more affluent consumers fuel spending across regional hubs. More of the top 50 locations appear in the Midlands and northern England this year compared with 2024, underscoring a geographic shift in retail vitality. Birmingham and Glasgow were noted as notable performers, while the sector remains exposed to broader macro pressures and changing consumer habits. Even as office attendance recovers, hybrid working is said to be contributing to bigger in-store purchases when people do shop, rather than a rise in quick top-up trips.

The data show that the geography of vitality is evolving: major hubs in the Midlands and North are climbing, while some traditional favourites slip. Cobham in Surrey fell to 21st after a slide from second last year, Oxford city centre dropped from 14th to 20th, and Harrogate fell from 17th to 25th. The report also notes a widening dispersion of top locations, with more top 50 hubs located outside the south-east than a year earlier. Will Chamberlain, associate director of new business at Newmark, said retailers were concentrating on “prime high-footfall locations that deliver strong sales and maximise visibility,” while store numbers in smaller towns were being reduced. He added that providing memorable and personalised in-store experiences remains a key focus for retailers seeking to differentiate themselves in a crowded marketplace. The report highlights Canary Wharf and King’s Cross as exemplars of how well-connected, high-footfall sites can sustain performance through a mix of office workers, residents and visitors.

Retail challenges and the cost backdrop remain a pervasive undertone for many segments of the market. The budget cycle has left retailers facing higher operating costs and a risk of further tax changes, with industry executives warning that costs have risen by about £7 billion since the Chancellor’s Budget last year. The Office for National Statistics showed 2.78 million people employed in retail in June, down 97,000 on the year, with nearly 400,000 retail jobs lost over the past decade. The British Retail Consortium warned that worse could be yet to come, while UK Hospitality reported ongoing pressures in the hospitality sector. Major retailers such as Tesco, Morrisons and Currys have trimmed jobs amid higher employer National Insurance, the minimum wage increases, business rates and packaging taxes. Several fashion brands and retailers, including Quiz, Seraphine and Claire’s, have also collapsed in recent years.

Chamberlain argued that reviving the UK’s high streets requires a broad coalition of government, local authorities and private stakeholders. In remarks to the Daily Mail, he said: “Reviving the UK’s high streets requires collaboration between government, local authorities, and private stakeholders. The most successful examples, such as Gloucester City Centre, show how public-private partnerships can transform underperforming areas through targeted investment and placemaking.” He stressed that local authorities play a critical role in shaping these spaces, ensuring they are safe, attractive and conducive to retail and leisure. On a national level, Chamberlain argued that reforming business rates through a more flexible tax system could better support the long-term vitality of retail centres across the UK.

The Newmark report also highlighted practical pathways for renewal, including redeveloping unproductive retail space on the fringes of town centres into residential, office or mixed-use schemes to rebalance supply and create more vibrant, multifunctional environments. Gloucester City Centre’s experience—driven by investment in the Dock’s Area and King’s Quarter—was cited as a tangible example of how targeted investment and placemaking can unlock value in lagging districts. The findings suggest that a coordinated approach, combining place-based investment with policies that reduce the fiscal burden on occupiers, may be essential to sustaining high streets over the medium term.

Overall, the Vitality Rankings for 2025 illustrate a split in the UK retail landscape: leading city-centre hubs continue to attract shoppers and workers, while many smaller town centres face structural pressures. The data point to a cautious path forward that prioritises selective investment, edge-of-centre redevelopment and policy reforms aimed at reducing the tax and cost burden on retailers, alongside efforts to deliver memorable in-store experiences that drive bigger baskets.