Retail sales growth hampered by storms, says BRC

On a total basis, sales increased by 0.1% in the four weeks to February 29, against an increase of 3.2% in February 2019. This was above the 12-month average decline of 0.2%.

However, UK retail sales decreased 0.4% on a like-for-like basis, compared with an increase of 2.6% the previous year.

Food sales increased 0.3% on a like-for-like basis and 1% on a total basis in the three months to February. This is below the 12-month total average growth of 1.2%.

In-store sales of non-food items also rose by 0.6% on a like-for-like and 0.7% on a total basis in the same period. For the month of February, non-food was in decline year on year.

BRC chief executive Helen Dickinson warned the retail sector to expect more sales disruption to come as a result of gathering consumer concern around the spread of coronavirus.

Dickinson said: “Clouds continued to hang over the retail industry in February, as storms Ciara, Dennis and Jorge took their toll on retail sales, particularly in fashion.

“Despite many indicators suggesting a rise in confidence among UK shoppers in recent months, this has failed to translate into higher retail sales. However, the end of the month saw a slight rise in spending on food and healthcare as a result of concerns around coronavirus.”

Dickinson also called on the government to act to reduce “sky-high business rates” in tomorrow’s Budget.

“In tomorrow’s Budget we hope the government will take the opportunity to relieve the business rates burden bearing down on the shoulders of the industry.

“Scrapping downwards phasing of transitional relief, which has forced retailers to subsidise other industries by almost £550m over the last three years, would allow more money to be invested back into people, property and technology all over the UK.”