UK Retail Sales Growth Accelerates to 11-Month High

UK retail sales decreased by 3.4% year-on-year on a like-for-like basis in April 2026, sharply missing expectations for a 0.8% increase and reversing the 3.1% growth recorded in March. The latest figure marked the first contraction in retail activity since November 2024, highlighting a notable deterioration in consumer demand. Broader data also showed Barclays credit and debit card spending falling 0.1% annually, the first decline in five months, while total retail sales dropped 3%. The pullback was most evident in discretionary categories, with travel spending plunging 5.7% and weakness also seen in furniture, hotels, and other big-ticket purchases. Retailers attributed the slowdown to uncertainty surrounding the Iran conflict, which fueled concerns over higher living costs and prompted households to prioritize savings over spending. While Easter timing effects partly distorted the monthly comparison, the data still points to weakening UK consumer confidence.

UK retail sales increased 3.1% year-on-year on a like-for-like basis in March 2026, far above market expectations for a 0.9% rise. The latest figure also rose sharply from February’s nine-month low of 0.7%, marking the strongest growth since April 2025, mainly attributed to an early Easter. Food sales rose 6.8%, surpassing the 12-month average of 2.6%. Meanwhile, non-food sales rose 0.9%, below the average 1.1% growth over the past year. However, the clothing and footwear sectors continued to face challenges. Furthermore, uncertainty surrounding international travel due to the Middle East situation negatively impacted sales of travel-related goods. BRC Chief Executive Helen Dickinson said: “An early Easter provided a much-needed boost to food sales as families came together over the long weekend.” She added that retailers hope the Middle East ceasefire will bring lasting stability, but the outlook remains uncertain.

UK retail sales rose 0.7% year-on-year on a like-for-like basis in February 2026, falling short of market expectations for a 2.4% gain as wet weather dampened shopping activity. The February figure also slowed sharply from a 2.3% rise in January, marking the weakest growth in nine months. Food sales increased 2.9% in February, below the 12-month average of 3.8%, while non-food sales fell 0.4%, compared with an average 1% growth over the past year. BRC chief executive Helen Dickinson said: “February’s grey, wet weather hit retail sales hard. Spending was weak across most categories, online and in-store, as households pulled back after Christmas and January’s rebound.” She added that the conflict in the Middle East is likely to further weigh on consumer sentiment. However, Valentine’s Day provided a small bright spot, with jewellery, watches, and perfume performing better as consumers still treated loved ones.