Retail sales fall for third month in a row as shoppers tighten their belts
New figures have shown that retail sales are dropping at a rate not seen since the depths of the Covid-19 pandemic as people cut back on discretionary purchases such as white goods and homewares.
According to the British Retail Consortium and KPMG, total retail sales fell for a third consecutive month in June with a decline of 1% in the five weeks to 2 July. This compares to an uplift of 10.4% in June 2021.
Helen Dickinson, BRC chief executive, said: “Sales volumes are falling to a rate not seen since the depths of the pandemic, as inflation continues to bite, and households cut back spending. Discretionary purchases were hit hard, especially white goods and homeware, while consumers also traded down to cheaper brands in food and non-food alike.”
While the Jubilee weekend gave food sales a temporary boost, and fashion sales benefited from the summer holiday and wedding season, Dickinson said this was not enough to counter a substantial slowdown in consumer spending.
