Economy

Retail sales slump 2.3% in April amid wet weather

Across non-food stores, sales volumes fell by 4.1% in April, marking the joint largest fall, alongside December 2023, since January 2021

Retail sales fell by 2.3% in volume over April, following a fall of 0.2% in March, as the retail sector was hampered by ongoing wet weather over the period.

According to the Office for National Statistics (ONS), sales volumes were down across most sectors, with non-food stores particularly “doing badly” as poor weather hit footfall.

Across non-food stores, sales volumes fell by 4.1% in April, marking the joint largest fall, alongside December 2023, since January 2021. Within non-food, falls were strongest within clothing retailers, sports equipment, games and toys stores, and furniture stores, with retailers reporting poor weather and low footfall as the main reasons.

The ONS said this was “consistent” with its national retail footfall data, which reported footfall falling on the year. It comes as the Met Office climate summaries reported April 2024 as being a “dull and wet month”, receiving 155% of average rainfall and just 79% of average sunshine hours.

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Automotive fuel sales volumes reported their largest monthly fall since October 2021, while food stores sales volumes fell for their third consecutive month.

Elsewhere, the amount spent online fell by 1.2% over the month, and by 1.5% over the year.

Kris Hamer, director of Insight at the BRC, said:  “Sales volumes saw significant decline in April, falling for the third time in five months as the gloomy, wet weather combined with the cost of living squeeze dampened spending.

“Cosmetics continued to sell well, and computer sales were boosted thanks to promotional activity and consumers upgrading their tech a few years after the pandemic surge in tech sales. Meanwhile, clothing and footwear and furniture failed to deliver due to the poor weather and consumers thinking twice before buying high ticket items.”

He added: “With summer around the corner, and inflation fast approaching the Bank of England’s 2% target, retailers are hopeful that consumer confidence will improve, and spending will pick up once again. Retail is crucial to healthy local economies, and if the next Government wants to boost growth and jobs in left behind regions, it must help unlock retail investment right across the country.

“With a general election fast approaching, political parties must ensure their manifestos detail how they will support retail, the three million people it employs, and the 60 million people it serves.”

Jacqui Baker, head of retail at RSM UK and chair of ICAEW’s Retail Group, added: “The tough start to the year dragged on for retailers in April, with homeware and clothing hit the hardest. The cold and wet weather put shoppers off from heading to the high street, leading to some consumers shopping online instead, with an uptick of 1.1%.

“Although workers will have benefitted from a National Insurance cut in April, as well as an increase in minimum wage for some, it’s likely we won’t start to see the benefits until May onwards. Plus, with inflation easing, interest rate cuts on the horizon and the sunshine making an appearance, things should start to look up soon as consumer confidence builds.”

 

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