UK retail sales growth slowed in July as hot weather kept shoppers away from stores and households remained cautious about spending.
Total sales rose 1.3% year-on-year, down from 2.5% a year earlier and below the 12-month average of 1.8%. Food sales were the bright spot, climbing 3.8%, helped by England's World Cup run and demand for home entertaining. Non-food sales fell 0.7%, with in-store sales down 1.9%, although online non-food sales rose 1.3%.
The BRC said clothing benefited from demand for affordable summer essentials, while shoppers delayed bigger purchases such as furniture and computers.
Helen Dickinson, chief executive of the British Retail Consortium, said retailers faced a "challenging start to the second half of the year" as stretched household budgets and rising operating costs continued to weigh on demand.
KPMG's Linda Ellett said spending remained focused on summer-related purchases, leaving other non-food categories struggling.
IGD chief executive Sarah Bradbury said shopper confidence had improved, but warned that rising food supply-chain costs could put renewed pressure on household budgets this autumn.
