UK retail sales saw a notable uplift in June, with both food and non-food sectors experiencing growth amid summer weather and seasonal promotions. According to the latest BRC-KPMG Retail Sales Monitor, total retail sales increased by 3.1% year-on-year, marking a turnaround from the 0.2% decline recorded in June 2024.
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Non-food sales, including key categories such as homeware and appliances, rose by 2.2% year-on-year. This growth followed a 1.9% decline in the same period last year, reflecting renewed consumer engagement, particularly in physical retail. In-store non-food sales climbed by 2.2%, reversing a 2.6% fall the year prior, while online non-food sales also rose by 2.3%.
Helen Dickinson, Chief Executive of the British Retail Consortium, noted, 'Retail sales heated up in June, with both food and non-food performing well. The soaring temperatures increased sales of electric fans while sports and leisure equipment was boosted by both the weather and the start of Wimbledon.' She added, 'The outlook is not all bright and sunny: retailers are watching Government closely for details of the upcoming business rates reform. If the Government includes shops within its new higher rates threshold, then many retailers will be forced to rethink their investment plans. The closure of larger stores would harm the local communities they support, costing jobs and reducing footfall in the area they serve. If Government wants to improve high streets and help local communities, they must ensure that no shop pays more under their new rates reforms.'
Linda Ellett, UK Head of Consumer, Retail & Leisure at KPMG, highlighted the interior category's performance: 'Home appliances and homeware purchases helped retail sales to grow in June, as new homebuyers and those having a refresh in their current home took advantage of summer promotions both in-store and online.'
Clothing sales saw modest monthly gains, while online penetration for non-food remained steady at 36.6%, slightly below the 12-month average of 36.8%.
IGD CEO Sarah Bradbury added, 'Shopper confidence fell back this month but stayed marginally above zero, landing at just 1. Escalating global tension and economic pressures left shoppers feeling uncertain in the year ahead.' However, she noted that summer ranges and weather could 'tap into more consumer occasions, particularly amongst higher income shoppers who remain focused on quality.'
As the interiors industry braces for further seasonal opportunities, the data suggests a cautiously optimistic outlook, pending clarity on business rates and inflation.
More information:
British Retail Consortium
[email protected]
www.brc.org.uk
