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UK retail sales and spending fell in April as shoppers’ appetites were hit by “dismal” weather and the early timing of Easter, according to industry figures.
The value of retail sales fell at an annual rate of 4 per cent in April, following 3.5 per cent growth in March, the British Retail Consortium said on Tuesday.
The data highlights the struggles of the consumer sector following two years of high inflation and elevated borrowing costs, which have strained household finances.
The weaker spending data raises concerns over the UK’s economic recovery as inflation falls, after the country slipped into a technical recession last year. Most analysts expect the economy to rebound as wages are now rising faster than prices.
Consumer prices increased at an annual rate of 3.2 per cent in March, falling back from a 42-year high of 11.1 per cent in October 2022.
The BRC figures, which are not adjusted for prices and seasonal trends, reflected that Easter fell in March instead of April this year. The average growth for March and April combined was 0.2 per cent — still below the 3.2 per cent recorded in March, suggesting that shoppers bought fewer goods at the start of spring.
Helen Dickinson, BRC chief executive, said: “Dismal weather and disappointing sales led to a depressing start to spring for retailers, even accounting for the change in timing of Easter.”
“A dull, wet April dampened sales growth for clothing and footwear, especially outdoor sportswear, as well as DIY and garden furniture,” she said.
She added that retailers were hoping for “brighter sales” over the summer as social events increased, while “consumer confidence could improve with a potential cut in interest rates”.
The figures chime with statistics published on Tuesday by Barclays, showing that UK consumer card spending grew by an annual rate of 1.6 per cent in April — down from 1.9 per cent in both March and February.
Britons cut back on going out to eat and drink last month, the data showed, with restaurants registering an annual fall of 13.1 per cent — compared with 12.6 per cent in March.
Meanwhile, card spending on household categories such as homewares, electronics and DIY fell by 4.1 per cent in April, indicating people were postponing renovations and home improvements.
Expenditure on rental and mortgage payments rose 3.6 per cent year on year in April, ending a three-month slowdown in spending between January to March, reflecting a rise in mortgage rates.
Annual spending on hotels, resorts and accommodation fell for the first time since May 2023, but travel agents had another positive month, with spending climbing 7.1 per cent, as holidaymakers booked summer getaways.
Karen Johnson, head of retail at Barclays, said: “Retailers were hopeful that discretionary spending would bounce back by mid-year, buoyed by falling inflation and the prospect of better weather.
However, “many retailers have adjusted their expectations, anticipating no real recovery until the autumn,” she added.
