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Retail sales growth hampered by Budget, higher energy bills

Published 05/11/2024, 08:08
Updated 05/11/2024, 08:40
© Reuters.  Retail sales growth hampered by Budget, higher energy bills

Proactive Investors - October saw retail sales growth slow compared to a year earlier as uncertainty around the Budget and concerns over higher energy bills weighed.

Total sales across the sector climbed by 0.6% last month against 2.6% in October 2023, the British Retail Consortium (BRC)-KPMG monitor showed on Tuesday.

This came as sales of food products climbed by 2.9%, compared to 7.9% last October, and fell among non-food goods by 0.1% after a 1% drop a year earlier.

“After a good start to autumn, October’s sales growth was disappointing,” BRC head Helen Dickinson said.

A later half-term week this year depressed figures, she noted, leaving November likely to see a boost.

“Uncertainty during the run-up to the Budget, coupled with rising energy bills, also spooked some consumers,” Dickinson added.

Separate figures from Barclays (LON:BARC) showed essential spending fell by 2.2% in October and at the fastest pace since April 2020, while supermarket transactions dipped 0.8%.

Entertainment spending jumped by 13.5% in the meantime, though, as Brits continued to prioritise, according to Barclays retail head Karen Johnson.

Read more on Proactive Investors UK

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