BDO: UK retail sector in fifth consecutive week of growth

The UK retail sector has notched up its fifth consecutive week of positive growth, with total like-for-like (LFL) sales rising by a healthy 3.29%. This performance is particularly impressive as it's set against a weak base of -1.79% from the same period last year. The fashion industry, along with homewares, emerged as a key driver of this success, experiencing robust trade across both physical and digital channels.

The apparel sector's strong showing is a welcome sign as the country transitions from late-summer warmth to cooler, more autumnal conditions. Shoppers appear to be embracing the changing season, updating their wardrobes and driving positive sales in-store and online. Total store LFL sales for all sectors saw a solid increase of 3.49%, bouncing back from a negative -1.10% base. This indicates that despite a marginal overall decline in footfall (-0.8%), those who are visiting stores are converting to sales, with the fashion sector playing a significant role.

While overall foot traffic was down, largely due to a -2.8% drop on the high street, shopping centers saw a notable uptick of +1.8% and retail parks remained stable with a tiny +0.03% increase. This suggests that while consumers may be opting for more consolidated shopping trips, they are actively engaging with retailers when they do venture out.

Meanwhile, non-store LFL sales continued to contribute positively, growing by 2.99% on top of a strong 5.63% base. This sustained growth in e-commerce, combined with the successful in-store performance, paints a picture of a resilient fashion market adapting to various consumer behaviors. As temperatures continue to drop, the fashion industry will likely remain a crucial indicator of retail health.

Source: BDO High Street Sales Tracker