UK retail sales drop due to warm weather affecting autumn clothing purchases

20 October 2023 , 09:49

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The decline was more significant than anticipated. (Image: PA Archive/PA Images)

UK retail sales took a hit last month as the unusually warm September weather deterred shoppers from buying autumn clothing, official figures reveal. The Office for National Statistics (ONS) reported a 0.9% drop in retail sales volumes in September compared to August, which had seen a 0.4% rise.

The decline was more significant than anticipated, with experts having forecasted a 0.3% fall for September. Economists pointed out that clothing and department stores experienced noticeable drops in trade, attributing this also to the ongoing strain on consumers' budgets due to the escalating cost of living.

Grant Fitzner, ONS chief economist, commented: "Retail sales fell notably in September, with retailers telling us that cost-of-living pressures are influencing consumers, particularly for sales of non-essential goods." He added, "It was a poor month for clothing stores as the warm autumnal conditions reduced sales of colder weather gear."

However, he noted that the unseasonably warm September did boost food sales slightly, and fuel sales recovered from the previous month's dip. According to the ONS, last month tied as the hottest September on record.

The ONS attributed the unusual weather, including a particularly hot spell at the start of the month, to a 1.9% decrease in trade at non-food stores.

Shop prices 'are yet to peak and will remain high' as inflation hits new heights

Clothing and department stores both reported a 1.6% decline for the month, as sales of new autumn lines including coats, jackets and knitwear, were impacted by the weather.

Meanwhile, the ONS also said it saw a fall in sales at watch and jewellery stores, with retailers linking this to a reduced desire to buy more expensive items in the challenging economic climate.

Elsewhere, food sales ticked 0.2% higher for the month, although this reflected a slowdown after a 1.4% rise in August.

Helen Dickinson, chief executive of the British Retail Consortium, said: "With the 'golden quarter' fast approaching, retailers are hopeful that easing inflation we have seen in recent months will boost consumer confidence."

"Retailers will continue to support customers by bringing prices down wherever they can."

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Steve Charnock