Retail sales fell 0.3% in December in new economic setback for Reeves
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The high street suffered a weak Christmas with retail sales falling by 0.3% in December, according to latest official figures. The Office for National Statistics (ONS) said food sale volumes, mainly from supermarkets, were down 1.9%, while non-food stores were up 1.1%. One of the strongest performers was the fashion sector with sales volumes 4.4% higher.
For the final quarter of the year sales volumes were 0.8% lower. The figures suggest that consumers were still lacking confidence after the October Budget. ONS senior statistician Hannah Finselbach said: “Retail sales fell in December following last month’s slight increase.
“This was driven by a very poor month for food sales, which sank to their lowest level since 2013, with supermarkets particularly affected. “It was a better month for clothing shops and household goods stores, where retailers reported strong Christmas trading.
“With the timing of Black Friday falling within these latest data, our figures when not adjusted for seasonal spending show overall retail sales grew more strongly than in recent Decembers.”. Erin Brookes, European Retail and Consumer Lead at consultants Alvarez & Marsal, said: Sales disappointed in December after five months of positive growth, signalling that retailers are already being hit by low consumer confidence on spending.
