According to the CBI Distributive Trades Survey, retail sales volumes fell modestly by 6% in October 2024, following a slight growth of 4% in September.
UK retail sales experience modest decline
This decline reflects dampened consumer spending, largely due to uncertainty surrounding the Autumn Budget. Retailers anticipate flat annual sales in November, as seasonal sales have underperformed and weak demand is expected to persist.
Despite the overall downturn, internet sales continued to thrive, growing by 21% in October and projected to increase further by 27% in the coming month. However, orders to suppliers experienced a slight decline of 5% and are forecasted to drop more significantly in November, with expectations of a 24% decrease.
Sectors details
The distribution sector as a whole has seen moderate sales declines, with similar trends anticipated for November. Economist Martin Sartorius highlighted the increasing caution among consumers and emphasized the need for reforms in business rates and tax stability in the upcoming Budget to bolster retail resilience.
