1. News
August 20, 2021

ONS data shows 2.5% drop in UK retail sales volumes for July

Sales improved by 5.8% during the month compared with their pre-pandemic levels from February 2020 levels.

The UK’s Office for National Statistics (ONS) has released data that shows the volume of retail sales in the country dropped 2.5% between June and July.

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by GD50 Custom
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Sales volumes were 5.8% higher last month compared with last February, prior to the impact of the Covid-19 pandemic on the retail industry.

During July 2021, sales volumes of food and non-food stores fell by 1.5% and 4.4%, respectively.

Automotive fuel also experienced the first monthly fall since February this year, with sales volumes dropping by 2.9% over the month.

This was impacted by heavy rainfall in early July that disrupted road traffic volumes. Sales are now 6.7% below pre-pandemic levels in last February.

Meanwhile, online retail sales increased to 27.9% in July from 27.1% in June.

The ONS data also showed retail sales volumes over the last three months increased by 11.1% compared with a year earlier.

In July, volumes were 2.4% higher than the same period last year.

Both clothing and household goods stores reported a monthly decrease in sales volumes of 2.0% in July. Department stores reported monthly growth of 0.2%.

Non-store retailers reported a 0.5% monthly increase during the month and sales volumes were 40.4% higher than last February.

Earlier this month, the British Retail Consortium (BRC) reported that sales increased by 6.4% in July compared to 3.2% growth in the same month last year.

This figure is below the three-month average growth of 14.7%.

BRC chief executive Helen Dickinson OBE said: “July continued to see strong sales, although growth has started to slow. The lifting of restrictions did not bring the anticipated in-store boost, with the wet weather leaving consumers reluctant to visit shopping destinations.”

Free Whitepaper
img

What is the impact of historically high inflation on the UK consumer landscape?

The average UK consumer is experiencing a severe cost-of living crisis as inflation surges to a forty-year high and the price of goods continues to rise. This shock is the result of the sharply increasing costs of commodities, energy, and the ongoing conflict in Ukraine, and is threatening FMCG manufacturers, retailers, and foodservice operators’ ability to survive and grow. Inflation will have a profound effect on many consumer-facing industries in 2022 and beyond. Consult GlobalData’s new whitepaper, Inflation in the UK: The Impact of Historically High Inflation on the UK Consumer Landscape, to better understand shifts in consumer behavior and their impact on spending patterns, as well as the implications for UK businesses. This whitepaper covers:  
  • Why has global inflation returned with a vengeance?
  • What is the current inflation situation in the UK?
  • What impact is inflation having on UK retail sales?
  • What tactics are businesses relying on to tackle the effects of high inflation?
  • How are consumers changing their behaviors to cope with the higher cost of living?
  • Which industry sectors are most vulnerable to reduced consumer demand?
  • How is the government responding to high inflation?
  • How long will high inflation last in the UK?
  • How can your company survive and thrive in a high inflation environment?
Enter your details here to receive your free whitepaper and ready your business for these increasingly uncertain times.
by GD50 Custom
Enter your details here to receive your free Whitepaper.