Reliable Consumers boosts retail sales in August

Wednesday, September 6, 2023

Retail sales increased 4.1% in August in the UK compared to the year before, according to the British Retail Consortium selling monitor

Rising consumer confidence cranked up retail sales in August as slowing inflation gave some hope for the all-important Christmas trading period.

Victoria Scholar, investment director at Interactive Investor, said: 'Health and beauty, food and drinks products enjoyed a boost over the summer, while clothing and footwear suffered weaker growth with families leaving it longer to stock

up on school uniforms.

But internet sales continued to struggle as online sales continued to fall in August, falling 3% year on year.

Despite the improvement in consumer confidence over the summer, Paul Martin, head of UK retail at KPMG warns that the resilience of the sector could be over.

The overall sales figures reflected an improvement in consumer confidence in August whose retailers, hoping the trend is set to continue while shoppers put their minds to the holiday season.

See also: 'We need a monetary policy review': Industry responds to 'hard "UK inflation figures

Paul Martin, UK Chief Retail Convector at KPMG, said: 'As summer comes to an end, retailers will have their sights firmly set on the most crucial period of trading as consumers get ready for Christmas.