Benjamin Chiou Sharecast News
04 Jun, 2024 07:12

Bank holidays help UK retail sales inch higher in May

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Sharecast / gonghuimin468 via Pixabay

UK retail sales inched higher in May, staging a minor rebound after a disappointing performance in April, according to figures out on Tuesday from the British Retail Consortium and KPMG.

Total sales were up 0.7% year-on-year last month, following a 4.0% annual decline in April, as a 3.6% increase in food sales managed to outweigh a 2.4% decline in non-food.

While non-food sales were down, the BRC noted that the two bank holidays in May helped drive growth in purchases of DIY and gardening equipment, as well as clothing, while computing sales reached their highest levels since the pandemic.

The overall growth rate was higher than the three-month average of 0.3%, but still came in below the 12-month average gain of 2.0%.

"Despite a strong bank holiday weekend for retailers, minimal improvement to weather across most of May meant only a modest rebound in retail sales last month," said the BRC's chief executive Helen Dickinson.

"Retailers remain optimistic that major events such as the Euros and the Olympics will bolster consumer confidence this summer," she said.

Dickinson also used the report to call for more cross-government co-ordination and "outcome-driven policymaking" ahead of the general election next month.

"Retail really is the 'everywhere economy', and with the right policy environment can use its scale and reach to support public policy goals," she said.

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