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UK Clothing sector shows growth for 2nd consecutive month

July 23, 2014 (United Kingdom)

In June 2014 total Scottish sales decreased by 1.1% compared with June 2013, when they had increased by 2.8%. Like-for-like sales decreased by 2.6% on last June, when they had increased by 0.3%. Taking account of shop price deflation, June’s total sales were up 0.7% in real terms, the highest real term growth this year, excluding January and Easter.
 
Sector Performance
Clothing and Footwear was the best performing category in Scotland for the eighth month running and was the only category to report growth in total sales, now for the second consecutive month.
 
Clothing
Summer ranges had a strong start in June, which lessened as the cooler weather approached. Some retailers reported that their Scottish clothing sales were in line with the UK, while for others Scotland displayed weaker growth. 
 
Total Non-Food sales decreased by 0.8% on a year earlier when they had increased 1.8%. Adjusted for the estimated effect of online sales in Scotland, total Non-Food sales would have increased by 0.5%. Over the last three months, adjusted Non-Food sales increased 1.3% against 2.5% over the last twelve months.
 
Total Scottish sales growth was below the UK in June. When adjusted for the effect of online, Scottish Non-Food sales were 2.2% on a year-to-date basis, compared to 4.3% for the UK.
 
 David Martin, Head of Policy and External Affairs, Scottish Retail Consortium, said: “Despite June’s retail figures showing a slight improvement on the previous month they rounded off a disappointingly weak second quarter.
 
“Warmer weather at the start of the month helped to get shoppers out, but as the weather cooled down so did sales.
 
“It is clear that cash conscious consumers have grown comfortable with value, especially on food, and continue to benefit from competitive pricing driven by stiff competition between the major grocery retailers.  The continued decline in like-for-like food sales in June is suggestive that last month wasn’t any different.
 
“Despite a slight set back in consumer confidence in June, overall consumer confidence has rebounded significantly throughout 2014 and where consumers have made savings, they now have the confidence to loosen their belts and increase spending on those discretionary non-food items.
 
“Fashion continues to benefit from this confidence, with clothing and footwear the best performing category in June and the only category to report positive total sales growth now for two consecutive months.”
 
 
 

British Retail Consortium
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