UK Retail Sales Rise 0.9% in June, But Economic Pressures Persist
Official data released Friday showed that UK retail sales increased by 0.9% in June compared to May. The rise was slightly below economists’ expectations, as a Reuters poll had forecast a 1.2% rebound following a steep decline in May.
Despite the uptick, many British households continue to feel financial pressure, with inflation climbing to 3.6% last month—driven in part by surging food prices.
A separate survey published earlier on Friday indicated that consumer confidence slipped in July, as concerns over potential tax hikes later in the year prompted households to grow their savings rather than spend.
Weather conditions have also played a significant role in retail performance. Supermarket chain Sainsbury (LON: SBRY) exceeded expectations in its latest quarterly report, with strong food and clothing sales helped by warmer weather. In contrast, fast food chain Greggs (LON: GRG) issued a profit warning, noting that the June heatwave negatively impacted store traffic.
