Closures were down 38.8% compared with 2022 while redundancies fell 21.3%, the Centre for Retail Research said.
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But CRR boss Joshua Bamfield highlighted shops’ increasing costs, staff shortages and falling demand.
He said: “This ‘improvement’ is probably best viewed as a trend that is ‘less bad’ rather than ‘good’.”
Some 119,405 jobs and 10,494 shops were lost, including 400 Wilko stores with 12,000 posts.
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Rick Smith, boss of insolvency firm Forbes Burton, said many “sites are no longer viable after the e-commerce boom”.
He added: “Only those with the deepest pockets or the brightest ideas will survive.”
The Daily Express Save Our High Street crusade is campaigning to save town centres.
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