Wales’s high streets are facing significant challenges this year, with towns like Caerphilly experiencing an alarming number of store closures. New research reveals that despite it’s spectacular castle drawing visitors from across Wales, the nearby Caerphilly high street has a closure rate over 300% above the UK average, highlighting profound struggles among local retail sectors.
The analysis, by branding consultancy Branding by Garden, scaled store closures to population size to allow fair comparison, uncovering that Welsh towns such as Caerphilly and Denbighshire are among the worst affected. Caerphilly has seen four shops close per 100,000 residents in 2025, including the prominent Santander branch.
Other Welsh areas, including Denbighshire and Flintshire, also revealed multiple closures, with local populations experiencing rates of over 3 closures per 100,000 residents. Notably, larger towns like Berkshire and Oxfordshire show minimal closures, indicating regional disparities.
Experts warn these closures signal bigger issues, citing rising operational costs and declining foot traffic as key factors. Joseph Hedges, CEO of Branding by Garden, emphasizes that high streets serve more than just shopping destinations—they are vital community hubs, and their decline impacts local morale.
To reverse this trend, authorities are urged to focus on attracting diverse businesses and making high streets more appealing. The priority remains for local governments to support vibrant, inclusive spaces that foster community spirit amid ongoing economic pressures.
Joseph Hedges, CEO of Branding by Garden said: “High streets should be more than just a place to shop – they should be a staple of local communities and a reflection of how supportive residents are of their local environment.
“Paying attention to these closures matters because they indicate the challenges that both local business owners and residents are facing. Although the research doesn’t consider store openings that may have occurred after a closure, it’s undeniable that a shuttered or bare shopfront affects local morale and visitor perception.
“In order to successfully promote a growth strategy for small businesses and established chains, high streets need to address why so many closures are taking place. Rising operational costs like rent, wages, and bills are crippling shop owners, compounded by a consistent decline in footfall as consumers shop online.
“It’s essential that local authorities prioritise upping the appeal of high streets, ideally by minimising vacant units and providing a good mix of retail, hospitality, and community-based services so that there’s a multitude of reasons for locals to visit.”
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Methodology: Data was collected via timeout.com to collect each confirmed store closure across 95 areas recorded before 13th August. This was scaled against local populations to allow for accurate comparison based on the closure rate per 100k residents. The SME Insights Report referenced is visible here.
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