The new £90m Oxford Street programme is expected to drive 5% to 10% in sales growth per year to potentially reach £2.8bn in additional sales between 2027 and 2033, according to the New West End Company (NWEC).

Oxford Circus 2023

The forecast for additional sales is based on a comparison with a non-developmental scenario, “based on the assumption that the works will draw in additional footfall and boost visitor dwell times”.

The Oxford Street revamp programme is due to start this autumn and will introduce wider pavements, more bike and e-scooter parking spaces, pocket parks, and a diverse range of retail, cultural and leisure experiences based on consumer demand.

The last 12 months have seen Oxford Street add over 20 global brands to its portfolio, including HMV, Dr Martens, Under Armour and Krispy Kreme. Upcoming openings include Ikea, Pocket Planet and the Moco Museum.

NWEC says Oxford Street is “primed to respond to changes” and it has seen increased commercial demand for space and several high-quality, mixed-use developments to “diversify the street’s offering”.

On Oxford Street East, which has undergone “significant commercial development”, footfall grew 19% year on year in 2023, compared to 12% growth across the street in total.

The new data comes after Marks & Spencer announced it had claimed victory in a High Court battle with the government over the future of its Marble Arch store.

NWEC chief executive Dee Corsi said: “Oxford Street has long been at the epicentre of retail innovation – a must-see shopping destination for both international and domestic visitors, and a coveted address for businesses.

“Today, the street is redefining itself as a flagship destination for retail, leisure, culture and office space, with continued investments into infrastructure and increased demand from occupiers testament to the street’s enduring appeal and future potential.

“The Oxford Street Programme is a critical component of this once-in-a-lifetime transformation and today’s figures confirm that the £90m investment being made will generate significant added value for Oxford Street, and the West End.”

Westminster Council cabinet member for planning and economic development Geoff Barraclough added: “We need everyone to be on board with creating an Oxford Street fit for the future. Collaboration and partnerships are key to delivering a district that works for visitors, residents, retailers and investors. Oxford Street generates 5% of London’s gross value added, so its economic success is critical to the commercial wellbeing of London and the wider UK economy.

“We all need it to remain modern and attractive to tourists, investors and people who call Westminster home. That is why our partnership with New West End Company to deliver the Oxford Street Programme is so pivotal with the proposed improvements to the street securing its reputation as a global retail and leisure destination.”