Retail crime: Impact on workers, the community and local economies

Approximate read time: 20 minutes

On 5 December 2024, the House of Lords will debate the following motion:

Lord Hannett of Everton (Labour) to move that this House takes note of retail crime and its effect on workers, the community and local economies.

Lord Hannett is a former general secretary of the Union of Shop, Distributive and Allied Workers (USDAW).

1.   What is retail crime?

The British Independent Retailers Association (BIRA), a membership organisation that supports independent retail businesses in the UK, describes retail crime as “criminal activities that specifically target retail establishments, such as shops, supermarkets, or shopping centres”.^[1] BIRA has noted that such crime can have significant financial, operational, and emotional impacts on retailers and their employees.

Retail crime encompasses a range of criminal offences. These include:

• Theft or robbery under the Theft Act 1968
• Battery/common assault under the Criminal Justice Act 1988
• Wounding/causing grievous bodily harm with intent under the Offences Against the Person Act 1861
• Harassment under the Protection from Harassment Act 1997

In particular, shoplifting is a criminal offence under the Theft Act 1968. However, section 176 of the Anti-Social Behaviour, Crime and Policing Act 2014 reclassified theft from a shop of goods valued under £200 as “low-value shoplifting”, a summary-only offence with a maximum sentence of six months’ custody.^[2] This is normally tried in a magistrates’ court and is generally considered to be “less serious” than other types of offences.^[3] For example, the theft of goods worth more than £200 carries a maximum sentence of seven years’ custody.^[4]

2.   What is the scale of the problem?

The Office for National Statistics (ONS) gathers data on crime in England and Wales, using data from police-recorded crime and the Crime Survey for England and Wales.^[5] In its latest statistical outlook, published on 24 October 2024, the ONS reported a 29% increase in shoplifting offences recorded by police forces for the year ending June 2024 compared to the previous year (469,788 offences versus 365,173).^[6] The ONS noted that this was the highest figure since current recording practices began for the year ending March 2003 (when 310,881 offences were recorded). The following graph shows the number of shoplifting offences recorded by police forces in England and Wales each year since that time.

Figure 1: Number of shoplifting offences recorded by police forces in England and Wales, year ending March 2003 to the year ending June 2024

(Office for National Statistics, ‘Crime in England and Wales: Appendix tables’, 24 October 2024, table A5a) 

In February 2024, the British Retail Consortium (BRC), a trade association for retail businesses, published the latest findings of its own crime survey.^[7] The survey, which covered the period 1 September 2022 to 31 August 2023, examined the extent of crime against retail businesses in England and Wales. The BRC describes the survey as the “single largest and most reliable barometer of the state of play of crime in retail” as it is “based on a sample from retailers representing over 1.1 million employees and nearly £200bn market turnover”.^[8]

The survey found that there were 476,690 incidents of violence and abuse against retail workers in 2022/23, averaging 1,306 incidents per day. This represented an increase of 160,235 incidents on the previous year (316,455), averaging 867 incidents per day.^[9] For comparison, the pre-pandemic figure in 2019/20 was 455 incidents per day showing a steady increase from survey to survey. In addition:

• Of the overall total, there were 41,975 violent incidents (115 a day), slightly down on the previous year’s 145 a day and similar to the last pre-pandemic year. 8,800 of these incidents resulted in injury.
• There has been a significant increase in abuse. There were 434,715 incidents in 2022/23, 1,191 a day. This was an increase from 341 a day in 2019/20.
• Incidents of violence and abuse increased in all locations, with 87% reporting an increase in inner cities and town centres; 65% in shopping centres; and 81% in retail parks and out of town shops.

Additionally, the 2023 Commercial Victimisation Survey (CVS), official statistics published by the Home Office in September 2024, found that businesses in the wholesale and retail sector experienced higher crime rates than other commercial sectors. It reported that 41% of business premises experienced a CVS crime, including either assaults, burglary, fraud, threats and/or vandalism.^[10] The Home Office stated that the higher crime rate facing wholesale and retail businesses was likely due to the nature of the sector, with a particular emphasis on the public’s access to business premises. Customer theft was particularly prevalent, impacting an estimated 26% of premises in the previous 12 months of the survey. Although this figure was similar to the findings of the 2022 survey, it formed part of a “longer-term upward trend” since 2014 (increasing from 20% in 2014 to 26% in 2023).

The survey also highlighted “considerable variation” in crime rates within the wholesale and retail sector. For example, supermarkets experienced “notably” higher levels of customer theft (76%) and assaults or threats (43%) compared to other retail subsectors.^[11]

Furthermore, a 2023 survey of almost 6,000 respondents by the union USDAW, conducted as part of the union’s ‘freedom from fear’ campaign which seeks to prevent violence, threats and abuse against workers, found that “violence against shopworkers has doubled since last year [2022], with 18% saying they’d been assaulted”.^[12] It added:

Of those surveyed, 70% experienced verbal abuse and 46% were threatened by a customer. The results also show that amongst non-white workers, racial harassment was at 54%, and 41% of all women suffered sexism.

Violence and abuse was regularly triggered when abusers were caught shoplifting, often due to the cost of living crisis.

3.   What has been the impact of retail crime?

3.1 Businesses

In 2024, the BRC reported that the overall cost of retail crime, including crime prevention measures, amounted to £3.3bn from 1 September 2022 to 31 August 2023. This represented a £1.5bn increase compared to the previous year, when costs were estimated at £1.8bn.^[13]

Customer theft is the biggest source of financial loss due to retail crime. In 2022/23, retailers reported 16.7mn incidents of customer theft, which had cost retailers £1.79bn.^[14] This was a significant increase on the previous year, with retailers reporting 7.9mn incidents of theft, which had cost retailers £953.1mn. This led retailers to invest in crime prevention measures, such as installing security systems. In 2022/23, retailers spent £1.2bn on these measures. This represented a 65% increase from the previous year (£721.8mn).

3.2 Workers and communities

Increasing levels of retail crime have also negatively impacted the wellbeing of retail workers. In October 2024, the Retail Trust, a charity supporting the retail industry in the UK, published the results of its survey of 1,240 retail workers. The survey found that 47% of respondents feared for their safety at work and 39% had considered leaving their jobs or the industry altogether “due to the rise in violent and abusive incidents”.^[15]

In addition to the overall increase in offences, retailers have expressed their dissatisfaction with the police response to such incidents. The BRC noted that retailers estimated that they had reported over a third of incidents of violence and abuse (171,608) to the police in 2022/23, with an estimated 8% (38,135) resulting in a prosecution. 19,067 resulted in a conviction. Prior to 2021/22, over 50% of incidents were reported to police but fewer resulted in a prosecution.^[16]

The main reasons retailers provided for failing to report such incidents were a “lack of expectation that it would make any difference” and a lack of staff time.^[17] The BRC noted that there “remains a perception among some retailers that some police forces do not regard shop theft as a ‘real’ crime” and that the perception that “nothing will happen is probably held not just among retail staff, but also among repeat offenders”.^[18]

4.   What proposals did the previous government introduce?

4.1 Retail crime action plan

In October 2023, the National Police Chiefs’ Council published the ‘retail crime action plan’.^[19] The plan was commissioned by the then minister for crime, policing and fire, Chris Philp. It outlined the police’s commitment to tackling shoplifting and prioritising their attendance to scenes of crime where either violence was involved, where a repeat or prolific offender had been detained or where evidence needed to be “promptly secured”. It also included guidance for providing the “best possible evidence” for police to pursue a case against a shoplifter. Additionally, the plan also launched an information-sharing partnership between businesses and police called ‘Pegasus’, with the aim of better understanding the tactics used by organised retail crime gangs and identifying more offenders.

4.2 Fighting retail crime plan

In April 2024, the previous government published a plan titled ‘Fighting retail crime’, which built on the action plan and outlined measures to further reduce retail crime.^[20] This included:

• Standalone offence for assaults on retail workers: The government would introduce a “new bespoke offence” for assaulting a retail worker through its Criminal Justice Bill 2023–24. The government noted that there would be a presumption on conviction for this new offence that the court would make a criminal behaviour order to restrict an offender’s access to specific premises. Repeat offenders would face mandatory electronic monitoring as part of any community sentence.
• Electronic monitoring for prolific shoplifters: The government would develop a retail theft electronic monitoring package for offenders, including GPS-monitored curfews and exclusion zones.
• Greater use of facial recognition: Investing over £17.6mn in 2024/25 to enhance facial recognition capabilities for law enforcement. The government would also continue to work with retailers to “ensure that they are using facial recognition to its fullest potential to prevent retail crime”.
• Designing out crime: This would involve sharing best practices, providing training and supporting innovation in crime prevention.
• Reporting crime and sharing information: The government would explore how to share information between retailers and security companies to help identify offenders stealing from multiple retailers and to link offences.

Ahead of the report stage of the Criminal Justice Bill in the House of Commons in May 2024, the government tabled an amendment to create a standalone offence for assaulting a retail worker. However, the bill fell due to dissolution later the same month.^[21]

5.   What measures have the current government proposed?

5.1 Creating a new specific offence for assaults on retail workers

In its 2024 general election manifesto, Labour committed to creating a new specific offence for assaults on retail workers.^[22] The party had previously attempted to introduce such an offence through an amendment at committee stage to the Criminal Justice Bill in January 2024.^[23] While the previous government shared Labour’s concerns with assaults on retail workers, it opposed the amendment for several reasons including that the amendment as drafted would protect “only retail workers” when other workers would have “an equally strong claim”.^[24] However, the previous government did not rule out introducing future legislation on the issue. The amendment was disagreed to on division by 9 votes to 6.^[25]

In its first King’s Speech in July 2024, the incoming Labour government announced plans to introduce a crime and policing bill in the current session.^[26] The bill would create a new specific offence for assaulting a retail worker. The bill has yet to be introduced in either House.

Many retail organisations welcomed the proposal for a specific offence. The director of campaigns and public affairs at the Co-operative Group, Paul Gerrard, described the policy as a “seismic shift in the crackdown on retail crime” that would “send a clear and powerful message” to offenders that “the law does not accept this behaviour”.^[27] Additionally, the chief executive of the BRC, Helen Dickinson, described the proposal as a “timely intervention at a time when retail crime is costing retailers and their customers £3.3bn a year”.^[28]

5.2 Introducing respect orders

The Labour Party’s manifesto also included a proposal to address anti-social behaviour by introducing ‘respect orders’ to ban persistent adult offenders from town centres.^[29] The commitment was also outlined in the 2024 King’s Speech and relevant provisions are expected to form part of the forthcoming crime and policing bill.^[30]

On 22 November 2024, the government expanded on its King’s Speech pledge and reiterated that the forthcoming crime and policing bill would include new powers for police and local councils in England and Wales to ban persistent offenders from town centres or from drinking in specific areas, such as high streets.^[31] These powers would replace existing civil injunction powers for adults. Individuals who breached these orders could face up to two years’ imprisonment, unlimited fines, community orders and curfews. Announcing the measure, the home secretary, Yvette Cooper, said:

Too many town centres and neighbourhoods across our country are being plagued by anti-social behaviour, be it street drinking, harassment or vandalism on the high street or noisy and intimidating off-road bikes terrorising our estates […] Respect orders will give police and councils the powers they need to crack down on repeated anti-social behaviour, keeping our communities safe and ensuring repeat offenders face the consequences of their actions.

The proposal has received support from retail and police organisations. The general secretary of the USDAW, Paddy Lillis, said the announcement was “very much welcome”.^[32] Additionally, Andy Prophet, a deputy chief constable who leads the National Police Chiefs’ Council’s work on antisocial behaviour, said that respect orders would “give police and councils the ability to crack down on those who persistently make our streets and public spaces feel unsafe”.^[33]

However, the measure has also faced criticism.^[34] The leader of the Liberal Democrats, Ed Davey, said the announcement was “more about press releases than actual real action to help our communities and people suffering from anti-social behaviour”. Instead, he called for additional community police officers to prevent such behaviour. In addition, the director of the campaign group Liberty, Akiko Hart, warned that the powers were “near identical” to existing police powers. She also said that such powers were “routinely misused by the police, in particular to criminalise those experiencing homelessness”.

5.3 Tackling low-value shoplifting

In the 2024 King’s Speech, the government outlined that it would introduce stronger measures in its crime and policing bill to “tackle low-level shoplifting”.^[35] It would do this by repealing section 176 of the Anti-Social Behaviour, Crime and Policing Act 2014, which re-categorised the theft of goods under £200 as a summary-only offence.^[36]

At a retail crime summit in November 2024, the minister for policing, fire and crime prevention, Dame Diana Johnson, discussed the government’s proposals.^[37] She stated:

As we have promised, we will scrap the Conservatives’ ‘shoplifters charter’. That rule, introduced in 2014, introduced a new category of ‘low-value shoplifting’ to describe the theft of goods worth under £200. The police deprioritised enforcement—even in repeat cases or organised shoplifting. But it is simply not right to leave businesses and retail workers at the mercy of criminals. We will therefore remove the £200 threshold and treat shoplifting with the seriousness that it deserves, ending the shameful neglect of shoplifting over the last ten years.

Many retail stakeholders welcomed the government’s announcement. The chief executive of the Association of Convenience Stores, James Lowman, said that his organisation was “encouraged” by the government’s plans to tackle shoplifting.^[38] In addition, the chief policy and sustainability officer at the British Beauty Council, Victoria Brownlie, said that beauty stores had “really felt the brunt” of the theft of goods under £200 being classified as low-value shoplifting and welcomed “that the new government recognises the need to tackle this with the urgency it deserves”.^[39]

5.4 Additional funding

At the autumn budget on 30 October 2024, the Treasury announced additional funding to help tackle retail crime.^[40] This included:

• £5mn over three years to continue funding the national policing intelligence unit, Opal, to combat organised gangs targeting retailers
• £2mn over three years to the national business crime centre to support police and businesses in preventing and tackling crime
• £100,000 in 2025/26 for the National Police Chiefs’ Council for further training on crime prevention

6.   House of Lords Justice and Home Affairs Committee inquiry into shop theft

The House of Lords Justice and Home Affairs Committee launched a short inquiry into shop theft in May 2024, continuing its work in September 2024 following the general election. In November 2024, the chair of the committee, Lord Foster of Bath (Liberal Democrat), wrote to Home Office Minister Dame Diana Johnson detailing the committee’s findings.^[41]

The committee noted that shop theft incidents were at “the highest-ever level since comparable records began over 20 years ago” and that it had been told by witnesses that those figures represented “a drop in the ocean when compared with likely real figures”.^[42] The committee concluded that shop theft was “seriously underreported” and “not being tackled properly”. It endorsed the existing Pegasus information-sharing scheme and welcomed the government’s plans to introduce a new, standalone offence of assaulting a retail worker while also making several recommendations, including:^[43]

• Changing terminology: Replacing “shoplifting”, which the committee argued was “outdated” and “trivialising the severity of the offence”, with “shop theft” in legislation and guidance.
• Repealing the “low-value shoplifting” offence: Removing this offence under section 176 of the 2014 act “as soon as possible”.
• Improving reporting systems: Developing improved reporting systems to “expedite the process by which retailers can report crime to the police”. This included the introduction of a “retail flag” to identify retail-related crimes in the police national database and criminal justice case management systems.
• Regulating new technologies: Bringing forward legislation to regulate the “safe and ethical use of new technologies, especially by private companies for crime prevention measures”.
• Increased funding for rehabilitation: Funding community-based reoffending prevention and rehabilitation initiatives, which the committee stated were “crucial to help divert prolific drug and alcohol addicted offenders away from further offending”.
• Raising public awareness: Launching public awareness campaigns to target the stolen goods market.

Commenting on the committee’s recommendations, Lord Foster said:

The scale of the shop theft problem within England and Wales is totally unacceptable and action, like that underway in the Pegasus scheme, is vital and urgent.

There’s no silver bullet. But, if adopted, the recommendations in our report should help tackle the problem and help keep the public and our economy safer.^[44]

7.   Read more

7.1  Press articles

• Nick Martin, ‘‘We need help’: Workers say shoplifting is ‘out of control’ after surge in brazen thefts’, Sky News, 20 November 2024
• Archie Mitchell, ‘Shoplifting epidemic adds 10p ‘crime tax’ to every transaction as minister vows end to ‘shameful neglect’ of retail crime’, Independent, 12 November 2024
• Lucy Burton, ‘How Britain turned nasty—and left workers to pay the price’, Telegraph (£), 4 November 2024
• Joanna Patridge, ‘Shoplifting offences in England and Wales at highest level on record, ONS figures show’, Guardian, 24 October 2024

7.2 Parliamentary material

• Oral questions on ‘Retail crime’, HC Hansard, 25 November 2024, cols 483–7
• House of Commons, ‘Written question: Anti-social behaviour (14741)’, 21 November 2024
• House of Commons, ‘Written question: Shoplifting: Criminal investigation (12030)’, 7 November 2024
• House of Commons, ‘Written question: Retail trade: Crimes of violence (9309)’, 23 October 2024
• House of Commons, ‘Written question: Retail trade: Crime (8171)’, 17 October 2024

Cover image by Rayner Simpson on Unsplash