The poor weather across Western Europe and rising interest rates are being blamed for weak growth in UK retail sales in July, according to the British Retail Consortium.


UK retail sales rose 1.2% on a like-for-like basis, compared with July 2006, when sales were up 3.4%. July’s growth was the weakest since November 2006 and half the monthly average for the second quarter.
 
The three-month trend rate of growth fell to 2.1% from 2.5% in June, for like-for-like sales, and to 4.1% from 4.6% for total sales, reflecting the continuing growth of retail space.
 
“As in June, sales patterns were distorted by exceptional weather both this July and last July, as well as last year’s World Cup. Food sales fell against last year’s heatwave and World Cup,” the BRC said.


It continued: “Consumer spending is being squeezed by interest rates. Plans to buy big-ticket items have been scaled down and heavy discounts are often needed to attract customers.”

Just Food Excellence Awards - Have you nominated?

Nominations are now open for the prestigious Just Food Excellence Awards - one of the industry's most recognised programmes celebrating innovation, leadership, and impact. This is your chance to showcase your achievements, highlight industry advancements, and gain global recognition. Don't miss the opportunity to be honoured among the best - submit your nomination today!

Nominate Now