Get all your news in one place.
100's of premium titles.
One app.
Start reading
Evening Standard
Evening Standard
Business
Sean Morrison

UK retail sales see biggest monthly jump in two years after high streets welcome back customers

UK retailers saw the biggest monthly sales jump in more than two years in June after swathes of high street stores reopened.

The BRC-KPMG retail sales monitor for last month revealed a 3.4 per cent increase, representing the highest increase since May 2018.

It represented the first growth since the lockdown and significantly outstrips an average decline of 6.4 per cent over the previous three months.

The jump was driven by a surge in online sales, while it was also boosted by the reopening of non-essential retailers on June 15.

But retailers have warned that the troubled sector is "not out of the woods yet".

It comes as the Government confirmed face masks would be made mandatory in shops and supermarkets from July 24.

In June, UK retail sales increased by 10.9 per cent on a like-for-like basis - which excludes sales at temporarily closed stores - against the same month last year.

Helen Dickinson, chief executive of the British Retail Consortium (BRC), said: "June finally saw a return to growth in total sales, primarily driven by online as a result of lockdown measures being eased and pent-up demand being released.

"Despite footfall still being well below pre-coronavirus levels, average spend was up as consumers made the most of their occasional shopping trips.

"Though a month of growth is welcome news, retail is not out of the woods yet.

"The pandemic continues to pose huge challenges to the industry, with ongoing store closures and job losses across the UK."

Over the three months to June, food sales increased 7.3 per cent on a like-for-like basis as supermarket sales remained strong.

Meanwhile, non-food sales in stores were 46.8 per cent lower for the quarter.

Susan Barratt, chief executive officer of IGD, said: "The continued warm weather and further easing of lockdown restrictions contributed to another month of high growth in sales for food and grocery retail.

"With more opportunities to socialise in the sun and sport back on TV, shoppers have been enjoying BBQs and picnics."

Paul Martin, UK head of retail at KPMG, said: "Fashion sales haven't rebounded quite as impressively though, despite reports of increased interest from those prepared to queue to enter stores.

"Online sales - while still in a high gear - are cooling a little as high street activity picks up again slowly and cautiously."

Sign up to read this article
Read news from 100's of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.