In November, UK retail sales showed modest growth but did not meet expectations, marking an underwhelming start to the festive period.
- Retail sales saw a slight increase of 0.2% in November, a rebound from October’s decline but below the anticipated 0.5% rise.
- Supermarkets and non-food stores experienced growth, whereas clothing sales witnessed a significant contraction during this period.
- Food sales improved for the first time in three months, whereas online shopping experienced substantial declines.
- Black Friday, occurring at the month’s end, was excluded from the retail sales figures, affecting the overall performance assessments.
UK retail sales in November presented a mixed picture as they rose by a modest 0.2%. This slight increase offers a glimpse of recovery from the 0.7% drop witnessed in October, yet it fell short of analysts’ expectations of a 0.5% rise.
While supermarkets and non-food stores reported growth, the retail sector did not see uniform advances. Clothing sales, in particular, suffered a notable decline, dropping by 2.6% in November, their lowest since January 2022. This substantial reduction continued the downward trend from October, which saw a 3.5% fall.
Food sales provided a glimmer of optimism, achieving growth for the first time in three months with a 0.5% rise. In contrast, the online sales sector demonstrated a stark fall, decreasing by 4.3% in November. This decline marks the largest downturn since March 2022, highlighting potential challenges within the digital retail space.
Hannah Finselbach, a senior statistician at the Office for National Statistics (ONS), commented on the data by noting that there was an uptick for food stores, particularly in supermarkets, and improvement in household goods retailers like furniture shops. However, the clothing sector endured tough trading conditions.
The timing of Black Friday, which fell outside the typical reporting period at the end of November, was a significant factor. This scheduling anomaly meant that the retail sales figures for November did not fully capture the impact of the shopping event, which might have otherwise bolstered sales figures. Lisa Hooker from PwC emphasized that November’s results should not be seen as a comprehensive reflection of the retail climate leading into Christmas, given the exclusion of Black Friday.
November’s retail sales figures indicate a complex environment, showcasing resilience in some sectors amid challenges in others.
