September retail sales witnessed a notable increase, attributed to back-to-school shopping and the autumn season.
- The British Retail Consortium reported a 2% rise in total retail sales for September compared to the previous year.
- Despite a drop in non-food sales over three months, online non-food sales improved by 3.4%.
- Food sales observed a year-on-year increase, although they were lower than the previous year’s figures.
- Financial outlook concerns continued to impact demand for high-cost items like furniture.
In September, the commencement of the new academic year and the arrival of autumn contributed significantly to retail sales growth. According to the British Retail Consortium (BRC), there was a 2% rise in total sales, surpassing the 12-month average growth of 1.1%. This increase is noteworthy, though it falls short of the 2.7% growth recorded during the same period last year.
Food sales saw a year-on-year increase of 3.1% over the three-month period ending in September. However, this growth rate was lower compared to the 7.4% seen in August 2023 and the 12-month average of 4.4%. The data indicates a shift in consumer spending patterns, highlighting a reduced yet positive growth in food-related purchases.
Although non-food product sales declined by 0.3% over the three-month span, there was a noteworthy 3.4% increase in online non-food sales. This trend suggests a growing preference for online shopping for non-essential items, potentially driven by convenience and the accessibility of digital platforms.
Helen Dickinson, the BRC chief executive, remarked on the strongest retail growth observed in six months, driven primarily by non-food sectors performing better than anticipated. As autumn unfolded, consumers were keen to update their wardrobes with seasonal clothing, and the back-to-school period resulted in a surge in purchases of computers and other educational essentials.
Despite these positive trends, financial concerns among consumers have kept the demand for expensive items, such as furniture and white goods, relatively subdued. Linda Ellett of KPMG UK noted a modest but welcomed growth, specifically in children’s clothing and footwear, as household budgets eased slightly compared to the previous year.
Moreover, the transition back to work post-summer holidays also spurred a demand for adult apparel and footwear. September’s record rainfall in certain areas accelerated the purchase of winter clothing and gear, addressing immediate consumer needs.
In conclusion, September’s retail sales figures reflect a complex interplay of seasonal demands, economic concerns, and evolving consumer behaviour, setting a nuanced tone for the upcoming months.
