BRC retail sales figures for the week ending 30 September show total UK retail sales increased by 2.7% in September, up from 2.2% in September 2022. This was in line with the 3-month average growth of 2.7% and below the 12-month average growth of 4.2%.
Additionally shopper confidence reached its highest level since December 2021 in September, as fewer shoppers felt they would be financially worse off in the year ahead (35% vs 38% last month and 60% in Sep’22).
Non-Food sales decreased 1.2% on a Total basis over the three-months to September. This is below the 12-month average growth of 0.6%. For the month of September, Non-Food was in decline year-on-year.
Online Non-Food sales decreased by 3.6% in September, against a decline of 2.6% in September 2022. This was shallower than the 3-month decline of 4.1% and deeper than the 12-month decline of 3.2%. The proportion of Non-Food items bought online (penetration rate) decreased to 34.9% in September from 35.1% in September 2022.
Helen Dickinson OBE, Chief Executive of the British Retail Consortium, said:
“Sales growth in September slowed as the high cost of living continues to bear down on households. Big ticket items such as furniture and electricals performed poorly as consumers limited spending in the face of higher housing, rental and fuel costs. The Indian summer also meant sales of autumnal clothing, knitwear and coats, have yet to materialise.
“With sales volumes down, growth has been artificially boosted by high inflation over the last two years. As inflation eases, so too will longer-term sales growth prospects. The coming months are crucial for retailers as they enter the “Golden Quarter” and they’re investing heavily to support customers and bring prices down. However, such efforts are challenged by the £400m increase in business rates expected next year. The Chancellor should scrap the rates rise in his upcoming Budget and enable retailers to deliver more value for customers at such a critical time for the economy.”
