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Coverage of London’s small caps continues on proactiveinvestors.com
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The Markets
by Proactive
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The Markets
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Proactive UK has moved.
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Retail

Retail sales tumble on weather and Budget jitters

Retail sales across the UK fell more than expected last month as concerns around the Budget and unseasonably warm weather struck.

According to the Office for National Statistics, sales across the sector slipped 0.7% month on month in October, against analysts’ anticipations for a 0.3% drop.

Clothing sales faced the sharpest drop, of 3.1%, while both food and non-food figures declined as automotive fuel increased.

“Retailers across a range of industries suggested that low consumer confidence and uncertainty around the Budget announcement affected sales,” The ONS said.

The drop followed a 0.1% increase in September and marked a 2.4% rise over the year to October.

"Though official and survey-based activity data has been weaker of late [...] the recent drop-off probably understates the overall momentum in the economy," EY ITEM Club analysts commented.

“While October’s figures may heighten businesses' cost fears, there’s reason to believe sales may remain positive in the run-up to Christmas to help weather this," Shopify director Deann Evans added.

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