September witnessed a notable increase in retail sales as consumers geared up for the autumn season and the new academic year.
- Retail sales saw a growth of 2% in September, surpassing the 12-month average of 1.1%.
- Food sales experienced a year-on-year rise of 3.1% over the three months to September.
- Non-food sales declined by 0.3%, though online non-food sales grew by 3.4%.
- Consumer spending was impacted by ongoing financial concerns, affecting demand for big-ticket items.
In September, the retail sector experienced a positive uptick as consumers prepared for the autumn season and the commencement of the new academic year. The British Retail Consortium (BRC) reported a 2% rise in total sales for the month, a figure that exceeds the 12-month average growth rate of 1.1%.
Food sales showed a substantial increase of 3.1% year-on-year over the three months leading up to September. This is contrasted with the previous month’s growth of 7.4% in August 2023, yet it falls below the 12-month average of 4.4%.
Despite a slight decline in non-food sales, which dipped by 0.3% in the last three months, there was a 3.4% increase in online non-food sales. This shift highlights a growing trend towards digital shopping platforms as consumer preferences evolve.
BRC chief executive Helen Dickinson highlighted that retail sales saw the strongest growth in six months, attributing the improvements to better-than-expected performance in the non-food sector. The start of autumn encouraged shoppers to update their wardrobes with seasonal clothing like coats and knitwear.
A surge in last-minute shopping for computing devices and apparel was observed as students and parents prepared for the academic year. However, concerns over the financial climate dampened consumer enthusiasm for high-value items, such as furniture and white goods.
Linda Ellett from KPMG UK noted modest yet welcome growth for retailers, with an upswing in children’s clothing, footwear, and accessories being particularly prominent due to the school year commencement. Additionally, adverse weather conditions spurred sales of winter clothing.
The retail sector’s September performance underscores the influence of seasonal and academic preparations on consumer behaviour, amidst broader economic challenges.
