Retailers enjoyed the largest sales growth for 18 months last month
Retailers saw the value of sales climb by the largest amount since January 2014, excluding distortions caused by the timing of Easter, in June as they rose by 1.8% on a like for like basis.
The increase was driven by demand for outdoor toys, furniture and summer clothing according to the BRC-KPMG Retail Sales Monitor.
‘We saw welcome signs of growing consumer confidence, with people more willing to trade-up and spend a bit more on big-ticket purchases, likely boosted by the growth in the supply of credit and other factors such as low inflation and rising real incomes,’ says Helen Dickinson, BRC director general.
‘As the Wimbledon tennis championships got underway, June served up an ace for sales of non-food items,’ says David McCorquodale, KPMG head of retail.
The increase compares with a 0.8% drop in June 2014. Despite the increases, like-for-like sales were 0.1% lower over the past three months thanks to the supermarket price war, with food sales down 2.7% and non-food up 2.1%.
Online sales rose by 17.6%, the strongest growth in 10 months, and now account for 18.4% of sales, up from 16.9% a year ago.