Homewares is high street’s best performer
Homewares was the best performing sector for high street retailers last month: the only sector to see growth.
According to accountancy and business advisory firm BDOs’ High Street Sales Tracker total high street like-for-like sales fell by 0.8% in June. This follows a 1.7% drop a year ago. The Tracker has seen no growth for 16 of the past 17 months.
However homewares - cookware, furniture & floor coverings, lighting, linen and textiles - was able to provide a positive, with sales up 5.6% compared with a drop of 2.4% in 2018.
Lifestyle - general household goods, gifts, health & beauty, leisure goods - sales dropped 3.5% while fashion sales were flat.
‘June was another washout month for the high street. We saw retailers discount early on in June, adding further pressure to tight margins, yet they still weren’t able to salvage the month. Retailers are stuck between a rock and a hard place. They want to invest and adapt but they don’t have the funds or confidence to do so. At the same time, shoppers are holding back as consumer confidence falls and discretionary spend slips away,’ says Sophie Michael, BDO head of retail and wholsesale.
‘June marked the third anniversary of the EU referendum yet we still have no clear path forward. The uncertainty for both consumers and businesses is having a crippling effect. Time is running out and the government urgently needs to take action to help save the UK high street.’