Sun shines on retailers as sales up in June

11th July 2023 | Jack Oliver

Sunbathers and holiday-goers weren’t the only ones enjoying the sunshine in June, as retailers saw improved sales helped by warmer weather.

According to the BRC-KPMG Retail Sales Monitor, UK total retail sales increased by 4.9% in June, against a decline of 1% in June of 2022. This was above the 3-month average growth of 4.6% and the 12-month average growth of 4%.

Like-for-like retail sales grew by 4.2% in June, against a decline of 1.3% a year before. This fell below the 3-month average increase of 4.3% but was higher than the 12-month average growth of 3.6%.

Food sales increased by 9.8%, and were up 10.1% on a like-for-like basis over the three months to June. Non-food sales grew by 0.3% but were down 0.5% on a three-month like-for-like basis.

Helen Dickinson OBE, chief executive of the British Retail Consortium, said: “Retail sales growth ticked up slightly in June as hot weather prompted purchases of summer essentials. Sun-seekers headed to their favourite retailers to buy swimwear and beach towels, and outdoor games, garden furniture and barbecue food were boosted as families came together to celebrate Father’s Day. People were much more cautious about big-ticket purchases like furniture and technology equipment.

“Consumer confidence remains fragile. But, with headline food inflation easing for two months in a row as prices of essentials start to fall thanks to stiff competition and consumers continuing to shift shopping patterns to mitigate as much inflation as they can, confidence could improve.”

Paul Martin, head of UK retail at KPMG, added: “Apart from a blip in May, retail sales growth has remained steady at around 5% every month in the first half of this year.  However, the growth comes against a background of much higher inflation levels – resulting in reduced margins and profitability for operators across the sector.”


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