UK retailers suffer sales slump as Black Friday shifts

British retailers experienced a challenging November, with sales declining significantly according to the British Retail Consortium (BRC) report.

Total retail sales decreased by 3.3 per cent year on year in November, contrasting with the 2.6 per cent growth recorded in November 2023. This performance was below the three-month average growth of -0.1 per cent and the 12-month average growth of 0.5 per cent.

Food sales showed a modest increase of 2.4 per cent year on year over the three months to November, though this was well below the 7.6 per cent growth seen in November 2023. The 12-month average growth for food sales stands at 3.7 per cent.

Non-Food sales told a different story, decreasing by 2.1 per cent year on year over the three months to November. This decline was more pronounced than the 1.6 per cent drop in November 2023 and exceeded the 12-month average decline of 2.2 per cent.

Helen Dickinson, chief executive at the British Retail Consortium, provided context for the challenging figures: "While it was undoubtedly a bad start to the festive season, the poor spending figures were primarily down to the movement of Black Friday into the December figures this year."

Online sales painted a particularly stark picture, with Non-Food online sales decreasing by 10.3 per cent year on year in November. The online penetration rate for Non-Food items dropped slightly to 40.6 per cent from 41.4 per cent in November 2023, though this remains above the 12-month average of 36.4 per cent.

Dickinson warned of potential future challenges, noting that retailers will be hoping "that seasonal spending is delayed not diminished" in the remaining weeks before Christmas.

Retailers face additional pressures, with the industry anticipating over £7 billion in extra costs next year due to various regulatory changes and levies.

The report suggests a challenging landscape for UK retailers, with hopes pinned on a potential uplift in spending during the final weeks of the festive season.



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