UK retail sales rise 4.1% in August 2023: BRC-KPMG

Non-food sales decreased by 0.2 per cent on a total basis over the three months to August. This is notably lower than the 12-month average growth rate of 0.9 per cent. However, for the month of August, the non-food sector did show year-on-year growth.

In-store non-food sales increased by 1.3 per cent on a total basis since August 2022, although this remains below the 12-month average growth of 3.6 per cent. On the other hand, online non-food sales showed a decline of 1.7 per cent in August 2023, which is shallower than the declines recorded over both the last 3 and 12 months, at 3.1 per cent.

Helen Dickinson OBE, chief executive of the British Retail Consortium, said: “Retail sales in August improved, particularly on July’s poor performance. Sale of non-food products had their best month since February. The sales figures reflected the improvement in consumer confidence in August, and retailers hope this general upwards trend will carry on. Not all areas benefitted, clothing and footwear saw weaker growth as families held back spending on children’s uniforms and other back-to-school goods until the last minute.

“Easing inflation will certainly be welcomed by consumers, but as the rate of price rises falls, so will the extra spending needed by consumers. As a result, sales growth may fall in the coming months, even if volume growth does not.”

“August saw a bounce back in retail sales growth to 4.1 per cent, which will come as a relief for many retailers. Internet retailers continue to struggle as online sales fell yet again in August, dropping by 3 per cent year on year,” said Paul Martin, UK Head of retail, KPMG.

Fibre2Fashion News Desk (DP)