- Retail sales fell by 1.1% in October
- First fall in sales since May, with some retailers reporting consumers holding back for Black Friday deals
- Sales were up over the three months to October, thanks to strong clothing and tech sales in September
Danni Hewson, AJ Bell head of financial analysis, comments on the latest retail sales figures:
“This is the second October in a row when retailers have had to attempt to drum up the festive spirt whilst consumers were bracing for Budget blues.
“The constant pitch rolling from the government this year has created so much uncertainty, it’s hardly surprising that shoppers are keeping their powder dry. Whether they will feel confident enough to make those big-ticket purchases during this year’s Black Friday sales is a question that must be keeping retailers up at night.
“This period is supposed to be the ‘Golden Quarter’ when businesses make enough cash to see them through the new year blues, so many will be questioning the chancellor’s decision to hold this Budget so late in the year.
“The rather un-British summer did help clothing retailers in particular, and the launch of new tech persuaded some people to splash out in September as the month delivered better sales than had previously been thought.
“Whilst retailers might have cast Rachel Reeves in the role as 2025’s Grinch, the Bank of England could ride to the rescue with a rate cut before Christmas to potentially help loosen people’s purse strings just in time for the big day.”
