Summertime boost to retail sales – BRC responds to ONS RSI

Responding to the latest ONS Retail Sales Index figures, which showed sales up 2.4% by value, and up 2.3% by volume, Kris Hamer, director of Insight at the British Retail Consortium, said: “With summer in full swing, sales growth picked up in August. Computing performed well as extensive summer discounting encouraged consumers to upgrade their tech, and students organised themselves for the new academic year. Food, cosmetics, and fashion sales also had a good month as people hosted family and friends for picnics and barbecues and prepared for summer holidays and other social events. Meanwhile, furniture and household goods failed to shine, as people opted to spend their money on experiences instead.”

“Clearly, the high cost of living still bears down on consumers, meaning demand may dip further when energy bills rise once again in October. On top of difficult trading, retail faces a disproportionate tax burden compared to other industries, holding back investment, and contributing to a decline in shops and jobs. Government must take decisive action in the upcoming Budget and introduce a 20% Retail Rates Corrector – a 20% adjustment to bills for all retail properties – to level the playing field. This would drive economic growth and restore high streets up and down the country.”