February retail sales increase though fashion impacted by gloomy weather
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UK retail sales in February rose 1.1 percent year-on-year (YoY), driven by rising food sales which were counteracted by non-food sales. The latter category remained flat during the month, against a decline of 2.7 percent in February 2024, according to data provided by the British Retail Consortium (BRC).
While in-store non-food sales dropped 1 percent YoY, online non-food sales rose 1.9 percent, contrasting a decline of 4.1 percent recorded in the same month last year. This came below the three-month average growth of 5.3 percent, yet ahead of the 12-month average decline of 1.7 percent.
In a release, Helen Dickinson, chief executive of the BRC, called sales growth in February “modest”, with non-food sales only propped up by online purchases. While jewellery and watches, among other products, sold well thanks to Valentine’s Day, “fashion performed poorly due to gloomy weather throughout the month”.
In her own statement, Linda Ellett, UK head of consumer, retail and leisure at BRC’s partner firm KPMG, said online sales growth was “outpacing in-store and while shops will always be a key part of many retailers’ strategy, rent, rates and employment costs all must be factored in”.
Ellett continued: “As we have seen already this year, firms are increasingly scrutinising where best to be located and the implications of the likes of recently announced employment cost rises. Online shopping and the growth of social commerce has contributed to a lowering of demand for some physical retail stores and boardrooms will continue to keep a close eye on monthly footfall and sales data as 2025 progresses.”