
February saw a 1.1 per cent year-over-year (YoY) increase in UK retail sales, driven by increased food sales that were offset by non-food purchases. In contrast to February 2024, when it fell by 2.7 per cent, the latter category was unchanged during the month, according to data from the British Retail Consortium (BRC).
Online non-food sales increased by 1.9 per cent YoY, while in-store non-food sales decreased by 1 per cent YoY. This is in contrast to a 4.1 per cent reduction in the same month last year. This was higher than the 12-month average decline of 1.7 per cent but lower than the three-month average gain of 5.3 per cent.
Helen Dickinson, CEO of the British Retail Consortium (BRC), described the sales growth in February as “modest,” noting that online purchases were the main driver behind the performance of non-food sales. While Valentine’s Day boosted sales of jewellery and watches, fashion sales were significantly impacted by the gloomy weather throughout the month.
Linda Ellett, the UK head of consumer, retail, and leisure at KPMG, pointed out that online sales growth is surpassing in-store sales. She emphasised that while physical stores will remain a crucial part of many retailers’ strategies, factors like rent, rates, and employment costs must be carefully considered when planning for the future.