UK's retail sales surge 2.5% in October 2023: BRC

Over the three months leading up to October, non-food sales saw a decrease of 1 per cent on a total basis, a number that lags behind the 12-month average growth of 0.6 per cent. Specifically, in the month of October, the non-food sector continued its year-on-year decline.

Physical retail outlets for non-food items experienced a minor contraction, with in-store sales dropping by 0.1 per cent on a total basis since October 2022. This decline is a noticeable deviation from the 12-month average growth of 3 per cent, as per BRC.

Online non-food sales also faced a downturn, decreasing by 2.5 per cent in October, though this was less severe than the 6.3 per cent decline recorded in October of the previous year. However, this decrease was more pronounced than the 12-month average decline of 2.9 per cent.

The penetration rate for non-food items dropped slightly to 36.5 per cent in October from 36.6 per cent in October 2022.

Helen Dickinson OBE, Chief Executive of the British Retail Consortium, said:

“Retail sales growth slowed as high mortgage and rental costs further shook consumer confidence. Many households are also delaying their Christmas spending in the hopes they can grab a bargain in the upcoming Black Friday sales. The cost-of-living squeeze meant more was spent on lower-price indulgences. Meanwhile, the arrival of some colder weather helped to boost fashion sales, particularly for outdoor wear,” said Helen Dickinson OBE, chief executive of the British Retail Consortium.

“Retail sales remained weak in October with growth of just 2.5 per cent. Online sales continued to struggle, with negative sales growth recorded in every category other than health and other non-food. This could herald the most competitive Black Friday period that we’ve seen in a while,” said Paul Martin, UK head of retail, KPMG.

Fibre2Fashion News Desk (DP)