Retail sales struggle as Christmas gets closer
Published: 8 November 2011
Retail sales continue to drop, says BRC, with weak levels of consumer demand "worrying this close to Christmas".
UK retail sales values dropped 0.6% on a like-for-like basis in October, compared with the same month last year, according to the latest BRC-KPMG Retail Sales Monitor. On a total basis sales were up 1.5%, against a 2.4% increase in October 2010.
Non-food sales weakened, with big ticket items suffering most, said the report. Homewares continued to be tough and sales were often deal-driven. Shoppers remained cautious, giving priority to essentials and replacements over discretionary items.
BRC director general Stephen Robertson said: "Underneath the headline figure, the year-to-date results show almost no growth in non-food sales. Allowing for the VAT rise since last year, that suggests a substantial drop in sales volumes while the food figures indicate very little volume growth. It's clear customers are cutting back whatever they're buying.
"A lasting lift in consumers' mood needs a sense that better times will come for jobs, cuts and incomes. The Chancellor should use this month's Autumn Statement to help customers and businesses by offering hope over next year's planned fuel duty and business rates increases."