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Food sales increased by 3.1% YOY over the three months to September, against a growth of 7.4% in September 2023, according to the British Retail Consortium’s KPMG Retail Sales Monitor.

Despite the food sector seeing YOY growth, the 3.1% rise is below the 12-month average growth of 4.4%.

Overall, UK Total retail sales saw a 2.0% uplift YOY in September, slightly down from 2.7% in September 2023. However, this was above the 3-month average growth of 1.2% and the 12-month average growth of 1.1%.

“As shoppers turn their focus to the upcoming winter months, news of a difficult Autumn Budget and rising energy prices will likely cause a downturn in confidence with cost-of-living concerns remaining front and centre in shoppers’ minds,” explained Sarah Bradbury chief executive of IGD.

Sarah Bradbury chief executive of IGD, warned that while confidence held steady in September, news of a difficult upcoming Autumn Budget and rising energy prices could weaken it in the coming months with cost-of-living concerns remaining front and centre in shoppers’ minds.

“Growth in the grocery retail market slackened with the arrival of autumn. September’s sales were still ahead year-on-year, but the pace of increase was down versus August, no doubt depressed by the wet weather as well as cautionary economic messages from the government,” Bradbury explained.

She said with the golden quarter just beginning, retailers have been implementing seasonal ranging earlier than ever, ”determined to make the most of the coming key trading period”.

Ahead of the Autumn Budget at the end of the month, Helen Dickinson OBE chief executive of the British Retail Consortium said: Decisive action from the Chancellor, such as introducing a 20% Retail Rates Corrector, would help to drive investment and economic growth up and down the country.”