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Economy

Poor weather drags down retail sales 1.2% in July

27.4% of retail sales took place online in July 2023, up from 26.0% in June 2023 - this is the highest proportion since February 2022

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Retail sales volumes are estimated to have fallen by 1.2% in July 2023 following a rise of 0.6% in June 2023 as poor weather is thought to have deterred shoppers, according to the latest figures from the Office for National Statistics (ONS).

Food stores sales volumes fell by 2.6% in July 2023, with supermarkets reporting that the wet weather reduced clothing sales, although food sales also fell back. The ONS said that retailers indicated that the increased cost of living and food prices continued to affect sales volumes.

Meanwhile, non-food stores sales volumes fell by 1.7% in July 2023, following a rise of 0.6% in June 2023; retailers reported that the fall over the month was because of poor weather reducing footfall.

As a result, non-store retailing sales volumes rose by 2.8% in July 2023; online retailers suggested that a range of promotions boosted sales. Shoppers switched to online shopping as the weather and increased promotions led to 27.4% of retail sales taking place online in July 2023, up from 26.0% in June 2023 – this is the highest proportion since February 2022 (28.0%).

ONS deputy director for Surveys and Economic Indicators Heather Bovill said: “Retail sales fell sharply in July as poor weather impacted most sectors. It was a particularly bad month for supermarkets as the summer washout combined with the increased cost of living meant sluggish sales for both clothing and food. Department store and household goods sales also dropped significantly.

“The wet weather did mean a good month for online retailing, as discounting plus consumers shopping from the comfort of their homes boosted sales.”

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