March retail sales boosted by improving weather
New data from the British Retail Consortium and KPMG has shown that UK total retail sales increased by 1.1% year-on-year in March with both food and non-food showing small uplifts.
This compares to a rise of 3,5% a year earlier.
In the five weeks to 5 April, food sales rose by 1.6% against growth of 8.5% in March 2024.
Meanwhile, non-food sales edged up 0.6% compared to a decline of 0.4% in the same month last year.
Never Miss a Retail Update!While in-store non-food sales decreased by 0.1% following growth of 0.1% a year earlier, online non-food sales rose by 1.8% against a decline of 1.4% in March 2024.
Noting that Easter falls in April this year while last year it took place in March, the BRC said the calendar change will result in an artificially higher April.
Commenting on the month’s performance, Helen Dickinson, BRC chief executive said: “Despite a challenging global geopolitical landscape, the small increase in both food and non-food sales masked signs of underlying strengthening of demand given March 2025’s comparison with last year’s early Easter.
“The improving weather made for a particularly strong final week, with gardening and DIY equipment flying off the shelves.
“Jewellery and beauty products were helped by Mother’s Day, though sales of bigger ticket items like furniture remained weak. Retailers are making final preparations for Easter, with food expected to be the big winner next month.”
Dickinson also highlighted how retailers are now having to contend with £5 billion pounds of new government-imposed costs as a result of increases to the National Living Wage and National Insurance.
She added: “This rises to £7 billion when the new packaging tax comes into effect in October and will undoubtedly increase inflation later in the year and hold back critical investment in high streets across the country.
“Government has ample opportunities to kick start that investment by ensuring that no shop pays more as part of their planned reforms to business rates and that the Employment Rights Bill doesn’t reduce the availability of entry level and part time jobs. Investment and growth are what the economy needs right now.”
