Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Business

Retail sales up in April but analysts warn on implications of further rate hikes

by May 26, 2023
May 26, 2023
Retail sales up in April but analysts warn on implications of further rate hikes

Retail sales volumes recovered slightly by 0.5 per cent in April as the sector was lifted by the Easter holidays, however high inflation and strains on household finances continue to hinder spending.

Non-food stores sales volumes rose by 1.0 per cent during the month, data from the ONS shows, following a fall of 1.8 per cent in March, when a particularly rainy start to spring deterred shoppers.

As grocery inflation remains at record highs of circa 17.1 per cent, food stores sales volumes rose by 0.7 per cent in April 2023, following a fall of 0.8 per cent in March 2023.

However volumes were 2.7 per cent below their pre-coronavirus February 2020 levels, as households continue to spend cautiously when doing their weekly shop.

Moreover, online shopping rose 0.2 per cent during the month, following a 1.4 per cent fall in March.

The figures show the impact of inflation, which is currently sat at 8.7 per cent, on Brits spending habits. When compared with their pre-coronavirus level in February 2020, total retail sales were 16.5 per cent higher in value terms, but volumes were 0.8 per cent lower – as the nation gets less for what they pay for.

Dee Corsi, chief executive at New West End Company, said: “After a challenging few months, it is positive to see that retail sales are up 0.5 per cent from last month.

“April spend was undoubtedly boosted by the Coronation weekend, seeing the arrival of thousands of international tourists. With inflation hitting domestic spending power, the importance of international visitors has never been greater.”

She added: “However, as we look towards the traditionally busy Summer trading period, we are concerned that the UK is on course to miss out on critical economic growth being seen in other European countries which aren’t hamstrung by the tourist tax. Figures today also mask the likelihood of losing out on future Chinese spenders, who are yet to return in numbers.”

Analysis by PwC suggested that the “positive momentum” was welcome but could be thrown off by rising interest rates.

“Overall, the trajectory remains positive, with the best quarterly improvement in retail sales volumes since August 2021. This echoes the latest measures of consumer sentiment, which has been improving continuously since last Autumn,” a note circulated this morning said.

“With this month’s sales likely to be helped by the Coronation and additional bank holidays, we expect the positive momentum to continue in the short term. However retailers will be hoping that the current green shoots are not dampened by higher interest rates or other macroeconomic challenges over the summer.”

Read more:
Retail sales up in April but analysts warn on implications of further rate hikes

0
FacebookTwitterGoogle +Pinterest
previous post
Chancellor Jeremy Hunt says Bank must act – even if interest rate rises slow UK economy
next post
Price rises inevitable if UK small businesses to survive, new analysis finds

You may also like

Financial wellbeing startup Mintago closes $4.75m funding round

September 26, 2023

House prices climb 11% despite cost of living...

August 2, 2022

How Equity Value Finder is Filling the Void...

June 2, 2023

Brad Zackson Shares Common Misconceptions about Real Estate...

November 30, 2022

Tesla sees first annual sales decline in a...

January 3, 2025

Tarci Are Delivering  Timely SMB Data to Finance...

December 8, 2022

Big Issue Invest offers loan programme to charities...

October 24, 2022

How to choose the right business broker for...

May 23, 2024

How To Fund Your Startup

October 12, 2022

Equal pay lawsuits threaten to cost retailers millions...

October 26, 2024

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Banned chemicals found in American shampoo, sunscreen and tampons across major brands

      July 31, 2025
    • Homesick GOP senators mull throwing out the rules over stonewalling Dems

      July 31, 2025
    • Trump backs stock trading ban so lawmakers like Pelosi can’t continue ‘ripping off’ constituents, WH claims

      July 31, 2025
    • Huckabee, Witkoff slated for high-stakes Gaza visit to address ‘dire’ starvation crisis

      July 31, 2025
    • What Traditional Fashion Brands Can Learn from Direct-to-Consumer Models!

      July 31, 2025
    • Skinner v. Louisiana Brief: Prosecutors Must Be Held Accountable for Withholding Exculpatory Evidence

      July 31, 2025

    Categories

    • Business (8,637)
    • Investing (2,165)
    • Politics (16,267)
    • Stocks (3,228)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved