UK retail sales growth slowed last month as consumers held off making discretionary purchases ahead of Black Friday, according to new data from the British Retail Consortium.
Total sales values in October were up 1.6% year-on-year, easing from 2.3% growth in September. Like-for-like sales rose 1.5%, down from 2.0%.
Food sales rose by 3.5%, unchanged from the 12-month average but below September’s 4.3% increase. Growth in non-food sales slowed to 0.1%, compared to 0.7% the previous month and below the 12-month trend of 1.0%.
“October was a subdued month, with the weakest growth since May,” said BRC chief executive Helen Dickinson. “Many delayed spending, waiting for Black Friday deals and cooler temperatures before buying toys, electronics and clothing.”
She said food sales were supported by higher prices rather than volumes, and added that retailers were relying on Black Friday for a boost, although Budget-related uncertainty may weigh on sentiment.
KPMG’s Linda Ellett noted a broader softening in sales, particularly in home-related categories. “October’s retail sales growth fell back compared to recent months, with online growth drying up altogether,” she said.
“The coming months will tell whether this reflects the flattening out of the housing market, or a cautious consumer concerned about the UK’s economic prospects.”
Sarah Bradbury, chief executive of IGD, said food shoppers were becoming more budget-conscious. “Confidence has dipped, with shoppers prioritising saving money over quality for the first time this year,” she said, pointing to concerns about tax rises, the job market and falling real wage growth.