Retail sales in May see ‘biggest decline on record’
Sales decreased by 2.7% in May on a total basis, excluding Easter distortions, making it the “worst decline” since records began in January 1995, according to the latest BRC-KPMG sales monitor.
However, the BRC said this was against an increase of 4.1% in May 2018, itself a four year record. This decline drags the 3-month and 12-month average increases down to 0.2% and 0.9% respectively.
UK retail sales also decreased by 3% on a like-for-like basis from May 2018, when it had increased 2.8% from the preceding year. This was the steepest like-for-like decline since December 2008, excluding Easter distortions.
Over the three months to May, in-store sales of non-food items declined 2.7% on both a total and like-for-like basis. This is worse than the 12-month total average decline of 2.4%.
Helen Dickinson, chief executive of BRC, said: “With the biggest decline in retail sales on record, the risk of further job losses and store closures will only increase. While May 2018 offered almost unbroken sunshine, topped off by the run up to the World Cup and the marriage of Meghan and Harry, May 2019 delivered political and economic uncertainty.
“Food sales dropped for the first time since June 2016, with further declines in clothing, footwear and outdoor goods.”
She added: “With retail conditions the toughest they have been for a decade, politicians must act to support the successful reinvention of our high streets and local communities. Business rates remain a barrier, preventing many retailers from investing in their physical space.”
