Retail sales weaken in July as demand for clothing falls back

By Henry Saker-Clark, Press Association Deputy Business Editor

Retail sales slipped back in July as clothing sales fell at the fastest rate for more than a year, according to official figures.

The Office for National Statistics (ONS) said retail sales volumes declined by 0.5% in July, compared with the previous month.

It fell back from 0.7% growth in June, which had been revised down by statisticians from a previous estimate of 1% for the month.

July’s decline was a marginally larger fall than expected, as economists had predicted a 0.4% decline for the month.

https://x.com/ONS/status/2090681437825454577?ref_src=twsrc%5Etfw

Sales from clothing and footwear retailers slid by 2.7% for the month, representing the sharpest drop since May last year.

Experts said this was linked to many retailers bringing promotions and discount activity forward into June, helping drive sales that month but resulting in a drop off in July.

The ONS said retail sales volumes increased by 1.1% over the three months to July, compared with the previous three months.

ONS chief economist Grant Fitzner said: “Retail sales increased in the latest three months, with all main sectors, apart from motor fuel, seeing growth.

“Some retailers told us that hot weather and promotions helped sales of outdoor products and items such as fans, with clothing and online sports merchandise also doing well.”