Total UK retail sales up 2.6% YoY in Jan 2025: BRC

Non-food sales increased by 2.5 per cent YoY in the month against a decline of 2.8 per cent in January 2024. This was above the 3-month average growth of 0.2 per cent and above the 12-month average decline of 1.1 per cent.

In-store non-food sales increased by 2.6 per cent YoY in the month against a decline of 2 per cent in January 2024. This was above the 3-month average decline of 0.7 per cent and above the 12-month average decline of 1.7 per cent, a BRC release said.

Online non-food sales increased by 2.2 per cent YoY in the month compared to a drop of 4.2 per cent in January 2024. This was above the 3-month average growth of 1.8 per cent and above the 12-month average growth of 0.1 per cent.

The online penetration rate, i.e., the proportion of non-food items bought online, decreased to 35.7 per cent in January this year from 35.8 per cent in the same month last year. This was below the 12-month average of 36.7 per cent.

“Whether this strong performance can hold out for the coming months is yet to be seen. Inflationary pressures are rising, compounded by £7 billion of new costs facing retailers, including higher employer national insurance contributions, higher National Living Wage and a new packaging levy. Many businesses will be left with little choice but to increase prices, and cut investment in jobs and stores,” BRC chief executive Helen Dickinson said.

“Government can mitigate this by ensuring its proposed business rates reforms do not result in any shop paying more in business rates,” she added.

Fibre2Fashion News Desk (DS)