UK Retail Struggles Despite Good Weather

  • UK consumer spending hits record low in July
  • Sales increased by 0.3% compared to 1.6% the previous year
  • Lowest figure recorded for the month since 1995
  • In-store sales of non-food items declined 4.1% on a total basis and 4.0% on a like-for-like basis
  • High streets and online retailers both affected by Brexit uncertainty
  • Government urged to freeze future business rates rises and fix the appeals system

UK consumer spending hit a record low in July, according to the British Retail Consortium (BRC) and KPMG. Sales increased by only 0.3% compared to a 1.6% increase in the previous year, marking the lowest figure since records began in 1995. In-store sales of non-food items declined 4.1% on a total basis and 4.0% on a like-for-like basis. Online retailers also experienced slower growth than usual. The BRC attributed the decline to slow real wage growth and Brexit uncertainty, while KPMG noted that even with record temperatures, sales were lackluster. Both high streets and online retailers are struggling.

Factuality Level: 8
Factuality Justification: The article provides accurate and objective information about UK consumer spending in July, citing statistics from reliable sources (BRC and KPMG) and includes quotes from experts in the field. It also presents a clear explanation for the decline in sales, attributing it to factors such as slow real wage growth and Brexit uncertainty.
Noise Level: 4
Noise Justification: The article provides relevant information about UK consumer spending and its decline in July, attributing it to factors such as Brexit uncertainty and slow real wage growth. It also offers insights from experts in the field. However, it could benefit from more analysis of long-term trends or possibilities, and exploring consequences for those bearing risks.
Financial Relevance: Yes
Financial Markets Impacted: UK retail sector
Financial Rating Justification: The article discusses UK consumer spending and its impact on the retail sector, which affects various companies within the industry.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: Minor
Extreme Rating Justification: There is no extreme event mentioned in the article, and the situation described is related to economic factors affecting consumer spending rather than a catastrophic event.

Reported publicly: www.retailsector.co.uk