UK retail sales record slowest growth of the year in May
UK total retail sales increased by just 1% year-on-year in May to mark the weakest growth to date in 2025 as shoppers held back from buying non-essential goods. This compares to a rise of 0.7% in May 2024.
The figures from the BRC-KPMG Retail Sales Monitor show that food sales rose by 3.6% in the month compared to growth of 2.8% a year earlier.
However, non-food sales decreased by 1.1%, flat against a decline of 1.1% in May 2024, as shoppers held back from buying fashion and big-ticket items.
Meanwhile, in-store non-food sales edged down 0.9% year-on-year in May, against a decline of 2.6% at the same time last year.
Never Miss a Retail Update!Helen Dickinson, chief executive of the British Retail Consortium, said: “Consumers put the brakes on spending, with the slowest growth in 2025 so far.
“This was due largely to declines in non-food sales, as fashion and full price big-ticket items were held back by lower consumer confidence. Gaming bucked the trend, thanks to some popular new releases.
“Food sales remained solid as the month saw the conclusion of football tournaments and two bank holidays, prompting spending on BBQs and picnics.”
Dickinson highlighted how retailers are now having to deal with £5 billion in extra costs from higher National Insurance contributions and wages, as well as an additional £2 billion later this year from new packaging taxes. She also said that retailers remain concerned about the consequences of the Employment Rights Bill.
She added: “Ensuring the new Bill supports workers’ rights without undermining retailers’ ability to continue to provide jobs and investment in people will determine whether Government achieves economic growth across the country or not.”
