WH Smith Exits High Street, Leaving Town Centres Even Gloomier

WH Smith, a staple of British high streets for over a century, has announced its departure from the traditional retail landscape, shifting its focus entirely to travel outlets located in railway stations and airports. In June 2023, the company reached an agreement with private equity firm Modella to offload its high street division, renaming its remaining stores as TJ Jones. This transformation marks a significant change for a brand that once thrived on the bustling streets of towns and cities across the United Kingdom.

Founded in 1792 as a simple newspaper stand in Mayfair, WH Smith evolved into a significant retail force, especially during the mid-19th century. The rise of the railway system allowed consumers to access London newspapers almost immediately after publication, leading to a proliferation of WH Smith stalls at railway stations throughout Britain. At its peak, nearly every major railway station sported a WH Smith outlet, offering a range of newspapers, books, and magazines. The company’s founder, William Henry Smith, left a legacy that included a fortune of approximately £1.8 million at his passing in 1891, equivalent to around £200 million today.

As the 20th century began, WH Smith faced challenges from increasing rents imposed by railway companies eager to boost profits. The management, led by Charles Hornby, expressed concerns about the sustainability of their business model. Hornby wrote to the Great Western Railway, stating that losing significant portions of their stalls would severely impact the company but would be easier than enduring years of unprofitability. Unfortunately for WH Smith, its pleas fell on deaf ears, and the GWR limited Hornby to just ten weeks to prepare for the loss of nearly a third of its newsagent network.

In response, Hornby devised an innovative plan to relocate the station operations to nearby high street outlets, successfully transforming WH Smith into a national chain of shops. Fast forward to 2023, the company is pivoting back to its roots, leaving behind its high street presence amid a challenging retail environment. The new TJ Jones branding, devoid of any historical connection to WH Smith, aims to present a more family-oriented image, distancing itself from the perception of a large corporate entity.

The elimination of WH Smith from high streets is unlikely to evoke the same level of nostalgia as the closures of Woolworths or Wilko, both of which held special places in the hearts of many consumers. Nevertheless, the loss of such a long-standing retailer contributes to a more desolate atmosphere in town centres, particularly for residents in less urban areas who rely on local shops as a reflection of their community’s vitality.

Surveys reveal that only 13 percent of Britons believe their high streets have fully recovered from the impact of the pandemic, while a mere 3 percent describe them as vibrant and busy. This decline in foot traffic and engagement has left many communities grappling with a retail landscape dominated by discount stores, fast-food outlets, and shuttered businesses.

The departure of WH Smith underscores broader issues facing high street retailers, including rising business rates and the growing dominance of e-commerce. As the high street battles against these pressures, many residents cling to a vision of a vibrant shopping district filled with diverse shops, bakeries, and local businesses—an ideal that remains largely unfulfilled for most.

While the shift of WH Smith to a travel-focused business model is a strategic response to current market conditions, it leaves behind a void in the high street that may not easily be filled. The closure of such a notable retailer will contribute to an increasingly dreary atmosphere in town centres, prompting discussions about the future of retail in a rapidly evolving landscape.