Surprise rise in retail sales in July
Figures released by the Office for National Statistics have shown that retail sales rose unexpectedly in July and that sales growth in June was higher than previously reported.
The news raises the hope that the UK economy might be performing better than had been thought.
The ONS said today that retail sales rose 0.3% in July from the previous month and revised its figure for sales growth in June to 0.8%. The July figure compares to analysts’ forecasts for a monthly fall of 0.1%, while for June the previously reported figure was a rise of 0.1%
The ONS said the surprise increase in July was primarily due to a glut of supermarket promotions on fuel as well as high levels of discounting on the high street.
Never Miss a Retail Update!Commenting on today’s figures, Richard Lowe, head of retail and wholesale at Barclays, said: “It will be some comfort to retailers that consumers are still spending albeit more modestly than they would perhaps like.
“As the sector struggles to find sustained growth at home, more and more are looking to expand overseas. Even smaller retailers are starting to spread their wings internationally with the help of the internet.”
Food sales rose 0.4% in July while sales of clothing and footwear fell 1.8%.
