First decline in spending in food stores in 25 years

Retail Sales, July 2014: ONS

  • In July 2014, the quantity bought in the retail industry increased by 2.6% compared with July 2013 and by 0.1% compared with June 2014.
  • The three-month on previous three-month movement in the quantity bought showed continued growth for the seventeenth consecutive month increasing by 0.3%.  This was the longest period of sustained growth since November 2007.
  • Average prices of goods sold in July 2014 compared with July 2013 showed deflation of 0.9%. Food stores were the only sector to show an increase in prices (0.2%).  There has been declining growth in this series with July 2014 showing the lowest growth since December 2004, when it fell by 0.1%.  These data are consistent with the Consumer Prices Index (CPI) which was published on 19 August 2014.
  • Since the food stores series began in January 1989, July 2014 was the first time we have seen a fall in the amount spent in food stores year-on-year (1.3%).
  • In July 2014, the amount spent in the retail industry increased by 1.7% compared with July 2013 and fell by 0.1% compared with June 2014.  Non-seasonally adjusted data show that the average weekly spend in the retail industry in July 2014 was £7.0 billion compared with £6.9 billion in July 2013 and £7.0 billion in June 2014.
  • The amount spent online increased by 11.2% in July 2014 compared with July 2013 but decreased by 1.9% compared with June 2014.

Retail sales increase – highest year-on-year growth

Retail Sales, April 2014: ONS

  • In April 2014, the quantity bought in the retail industry increased by 6.9% compared with April 2013 and by 1.3% compared with March 2014. This was the highest year-on-year growth in the quantity bought since May 2004 and continued a pattern of year-on-year growth since early 2013.
  • The underlying pattern, as expressed by the rolling three-month-on-three month growth rate, was one of growth, with the quantity bought increasing by 1.8%.  This was the highest since March 2004 and was the 14th consecutive month of three month-on-three month growth in the quantity bought.
  • With the exception of petrol stations, all stores saw year-on-year increases in sales volumes.  Notably the food sector posted its strongest year-on-year growth since January 2002, increasing by 6.3%. Feedback from food store retailers suggested that a better than expected Easter and better weather conditions helped to boost sales.
  • Food store retailers also suggested that promotions helped to boost sales and this was reflected in the slowing of average price growth in the food sector: consistent with the consumer prices index (CPI) published on 20 May 2014, the rate of food store price inflation decreased to 0.9%, down from 1.8% in March 2014.  Food stores provided the main contribution to the fall in the all retail rate of store price inflation, which fell by 0.6% in April 2014.
  • In April 2014, the amount spent in the retail industry increased by 6.2% compared with April 2013 and by 0.6% compared with March 2014.  Non-seasonally adjusted data show that the average weekly spend in the retail industry in April 2014 was £7.0 billion compared with £6.5 billion in April 2013 and £6.8 billion in March 2014.
  • Following a weak March, the amount spent online increased by 13.3% in April 2014 compared with April 2013 and by 2.6% compared with March 2014

Retail Sales – non-food up, food stores down

Retail Sales, March 2014: ONS

  • In March 2014, the quantity bought in the retail industry increased by 4.2% compared with March 2013 and by 0.1% compared with February 2014.
  • The quantity bought also increased in Q1 2014 compared with Q1 2013, by 3.8%. This continues a pattern of year-on-year growth since early 2013.
  • Non-food stores saw the highest year-on-year increase (9.6%) since April 2002.  This may partly reflect the negative effect of the very cold weather a year earlier, which was the second coldest March on record, in contrast to the warm weather in March 2014.
  • Food stores, however, saw the largest year-on-year decrease (2.3%) since April 2013 (2.9%).
  • In March 2014, the amount spent in the retail industry increased by 3.9% compared with March 2013 and by 0.3% compared with February 2014.  Non-seasonally adjusted data show that the average weekly spend in the retail industry in March 2014 was £6.7 billion compared with £6.6 billion in March 2013 and £6.5 billion in February 2014.
  • Average prices of goods sold in March 2014 showed deflation of 0.5%; fuel once again provided the greatest contribution, falling by 5.8%.
  • The amount spent online increased by 7.1% in March 2014 compared with March 2013 and by 1.4% compared with February 2014.

Retail sales growth

Retail Sales, February 2014: ONS

  • Year-on-year estimates of the quantity bought in the retail industry continued to show growth. In February 2014, the quantity bought increased by 3.7% compared with February 2013.
  • The three month on previous three month movement in the quantity bought showed continued growth for the twelfth consecutive period increasing by 1.6%.  This has been the longest period of sustained growth since November 2007.
  • The average prices of goods sold showed deflation of 0.2% with fuel providing the greatest contribution to this at 4.4%. The last time store price deflation occurred was September 2009 (0.8%) when fuel was again the main contributor at 5.8%.
  • In February 2014, the amount spent in the retail industry increased by 3.5% compared with February 2013 and by 1.3% compared with January 2014.  Non seasonally adjusted data show that the average weekly spend in the retail industry in February 2014 was £6.6 billion compared with £6.3 billion in February 2013 and £6.4 billion in January 2014.
  • The amount spent online increased by 12.4% in February 2014 compared with February 2013 and by 2.5% compared with January 2014.

Retail trade volume up

Retail Trade volume up: Eurostat

  • In January 2014 compared with December 2013, the seasonally adjusted volume of retail trade rose by 1.6% in the euro area (EA18) and by 0.9% in the EU28
  • In December 2013 retail trade fell by 1.3% and 0.7% respectively.
  • In January 2014 compared with January 2013 retail trade increased by 1.3% in the euro area and by 1.9% in the EU28.