CBI data shows decline in UK retail sales amid high inflation

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Retail sales in the UK have fallen slightly over the past 12 months, according to the Confederation of British Industry’s (CBI) latest monthly retail occupations survey.

A total of 100 companies were included in the survey, of which 39 were retailers.

The survey showed the country’s retail sales volumes in the year to June fell to -5% from -1% last month.

Sales volumes are also expected to remain largely unchanged in the year through July, falling slightly to -2%.

CBI said sales fell to -19% this month from 0% in May, and are expected to fall further to 25% in July.

The survey also revealed that wholesale volumes slowed sharply in June to +4%, from +30% the previous month. This figure should increase slightly next month to +9%.

Retailer orders from suppliers also fell to -8% this month, after rising +2% in May due to weaker demand.

CBI Chief Economist Ben Jones said: “Retail volumes are struggling as high inflation eats away at consumer budgets.

“The squeeze in household incomes appears to have offset any increase in activity due to the extension of the Platinum Jubilee holiday to the start of the month.

“There are also clearer signs that a slowdown in consumer spending is starting to ripple through the broader retail sector, with wholesalers seeing a 14-month period of robust sales growth come to a screeching halt this month. -this.

“As the business climate weakens, government action is urgently needed to prevent a deeper and more prolonged downturn.

“Creating a permanent investment incentive and tackling skills shortages by introducing immediate flexibility in the apprenticeship tax would be solid first steps in building confidence.”

Earlier this month, data from the British Retail Consortium (BRC) and Sensormatic IQ revealed that total UK retail footfall for the past month fell 12.5% ​​on an annual basis on three years (Yo3Y).

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