Clothing sales volumes in Great Britain remain 2% below Feb 2020 level

Retail sales values, unadjusted for price changes, rose by 0.5 per cent in November 2022, following a rise of 1.7 per cent in October 2022. When compared with the pre-coronavirus (COVID-19) level in February 2020, total retail sales were 14.8 per cent higher in value terms, but volumes were 0.7 per cent lower, according to data shared by the ONS.

Compared with the same period a year earlier, retail sales volumes fell by 6.2 per cent in the three months to November 2022, while sales values rose by 4.4 per cent. Sales volumes fell by 0.4 per cent in November 2022, continuing a broad downward trend that has been seen since the lifting of hospitality restrictions in summer 2021.

Online spending values rose by 0.6 per cent in November 2022, because of monthly increases across all industries except other non-food stores. The value of online spending increased at a similar rate to retail sales as a whole, so the proportion of online sales remained unchanged at 26.2 per cent in November 2022. The proportion of retail sales online has remained broadly consistent at around 26.0 per cent since May 2022.

Non-store retailing sales volumes fell by 2.8 per cent in November 2022 but were 18.2 per cent above their pre-coronavirus (COVID-19) February 2020 levels. The fall in non-store retailing has been a trend since early 2021, as the wider economy reopened, and people could return to shopping in stores.

Responding to the latest ONS Retail Sales Index figures, Helen Dickinson, chief executive of the British Retail Consortium, said, “Sales growth failed to keep pace with inflation as sales volumes dropped for the eighth month in a row. Black Friday provided a small boost to retailers, but there are signs that many consumers are holding off Christmas spending until the last moment. Retailers may be slightly reassured by the marginal improvement in consumer confidence, but it remains well below levels seen even at the height of the pandemic due to the ongoing cost of living squeeze. There was stronger growth for furniture, floors, and textiles, as households chose to concentrate on improving the home ahead of Christmas. But many retailers will be holding their breath as they look to the hugely important December sales period.”

“Given the pressure currently bearing down on the retail industry from higher energy and input costs, it is vital the government provides support for retailers as it puts in place future arrangements for the EBRS from April 2023. Without clear targeted support, retailers will see their costs—and potentially prices—climb even higher,” added Dickinson.

ALCHEMPro News Desk (NB)