LONDON (AFP) – British retail sales fell more than expected in July, official data showed yesterday, with poor weather blamed for the setback as the country tries to revive its flagging economy.
Retail sales volumes fell by 1.2 per cent last month, the Office for National Statistics (ONS) said, worse than the 0.5 per cent that economists had forecast.
It followed sales climbing more than expected in June, off the back of warmer weather in that month and some competitive pricing as inflation slowly cools.
The government will hope the latest data is a temporary blip, but analysts warned it may signal dented consumer confidence after more than a year of rising interest rates.
“Retail sales fell sharply in July as poor weather impacted most sectors,” ONS deputy director for surveys and economic indicators Heather Bovill said.
“It was a particularly bad month for supermarkets as the summer washout combined with the increased cost of living meant sluggish sales for both clothing and food.
“Department store and household goods sales also dropped significantly.”
The ONS figures showed food stores sales volumes dropped 2.6 per cent last month, while non-food stores sales fell by 1.7 per cent.
However, the wet weather helped online retailers, with 27.4 per cent of all retail sales taking place online, the highest proportion since February 2022.
