October sales pick up
CBI warns UK growth still slower than expected
November 5 2002
Growth in UK retail sales increased in October compared to a slower pace in the previous four months, but the CBI warned growth was still slower than expected, and well below the high rates reported in the first half of 2002.
The CBI’s monthly Distributive Trades Survey found 44 per cent of firms reportng a sales rise compared with a year ago, while 19 per cent saw a fall.
Retailers are hoping for a further rally in sales growth in the year to November as winter ranges take off, but sales are below seasonal average for the third month.
Stores selling durable household goods reported the strongest sales, with food sales growth also high. Wet weather in September helped the clothing sector achieve its strongest sales growth for five months. Chemists saw the only fall in sales.
Alastair Eperon, Chairman of the CBI’s DTS panel and a director of Boots, said: “Retailers have recovered from August’s stutter and now look forward to more healthy sales. But it would be wrong to herald the return of the retail boom. It is significant that retailers continue to believe sales are below average for the time of year.”
