Retail sales growth speed at 9-month high

Retail sales grew at fastest pace since November 2012 and

exceeded expectations, according to the CBI’s latest quarterly Distributive Trades Survey of 125 firms. The British business organisation also pointed out that this was the second consecutive quarter of growth with the clothing sales on the foot front.

Retailers reported that sales volumes were above average for the time of year, for the first time since January 2011, reported CBI. Data gathered in the quarterly Distributive Trades Survey just released advanced a robust sales growth for September as well.

Clothing sales volumes grew at their strongest pace since February, up by 76 percent yet still behind February’s 91 percent growth rate.

Barry Williams, Asda Chief Merchandising Officer for Food, and Chair of the CBI Distributive Trades Survey Panel said: “The feel-good factor from the heatwave, summer sales, royal baby fever and sporting victories has helped boost the high street, with clothing retailers and grocers benefiting in particular.

“A rise in spending is welcome news, but the bottom line is that confidence will not bounce back fully until family finances improve further,” added Williams.

"Retailers expect another similarly strong month of sales growth in September, but this isn't a time to rest on our laurels as shoppers may return to cautious spending until they see a sustained improvement to the pound in their pocket or, dare I say it in August, until the festive spirit kicks in."

There was a broad-based increase in sales across many sub-sectors with clothing, grocers and recreational goods performing particularly strongly.