default-output-block.skip-main
BoF Logo

The Business of Fashion

Agenda-setting intelligence, analysis and advice for the global fashion community.

or
Sign up to:
  • Read daily fashion news
  • Download special reports
  • Sign up for essential email briefings
  • Follow topics of interest
  • Receive event invitations
  • Create job alerts

UK Retail Has Biggest June Sales Rise for 6 Years

The rise was helped by warm weather and weak numbers in the same month last year.
Shoppers on Oxford Street, London | Source: Shutterstock
By
  • Reuters

LONDON, United Kingdom — British shops enjoyed their biggest rise in June sales in six years, a survey showed on Friday, helped by warm weather and weak numbers in the same month last year.

Britain's economy has slowed as the rise in inflation since last year's Brexit vote and modest pay growth have hurt consumer spending. Recent surveys have shown a sharp drop in consumer confidence.

However, accountancy firm BDO said its monthly High Street Sales Tracker found overall like-for-like sales rose 1.3 percent in June.

"This growth was off a negative base of -3.6 percent for the same month last year, but after four months with no growth, this might offer a ray of sunshine to UK retailers," BDO said.

It said fashion sales increased 1.4 percent, while homeware sales were up 0.5 percent.

"Retailers will take heart from consumers’ willingness to spend, but there is evidence shoppers are delving into their savings which is clearly not a sustainable position," said Sophie Michael, head of retail and wholesale at BDO.

Some Bank of England officials believe the consumer slowdown will be offset by higher exports and investment. However, two of the eight sitting monetary policy makers voted last month for a rate hike. A third supporter of a hike has since left the Bank of England.

Reports from retailers themselves have been mixed. On Thursday, Associated British Foods' budget fashion arm Primark reported a strong quarter of trading and last week electricals retailer Dixons Carphone said the consumer environment was holding up.

However, last month sofa retailer DFS Furniture warned on profit.

By James Davey; editor: Mark Potter.

In This Article
Topics
Organisations

© 2021 The Business of Fashion. All rights reserved. For more information read our Terms & Conditions

The Business of Fashion

Agenda-setting intelligence, analysis and advice for the global fashion community.
CONNECT WITH US ON
Inside the $7 Billion Dior Phenomenon
© 2022 The Business of Fashion. All rights reserved. For more information read our Terms & Conditions and Privacy policy.
Inside the $7 Billion Dior Phenomenon