Analisists have blamed the growing economic uncertainty of a “mediocre” in July that saw that Scottish retail sales fell into real terms compared to the same month last year.
According to figures from the Scottish Retail Consortium (SRC) and KPMG, total sales in Scotland increased 0.1% last month compared to July 2024, when they had decreased by 0.9%.
However, when it fits inflation, this represents an interannual fall of 0.5%.
Food sales in Scotland fell 1.4% compared to July 2024, when they had decreased by just 0.3%.
This was despite a strong opening per month when the warm climate led to an “impulse” in the spending in barbecues and summer meals.
Non -food sales, on the other hand, increased by 1.4% compared to the same period last year, and analysts say that phones and some furniture and toys ranges worked well.
Adjusted by the effects of online sales, non -food sales increased 1.6% in July 2024, when they had decreased by 1.5%.
Ewan Macdonald-Russell, deputy director of the SRC, said: “Julio was a mediocre month for Scottish retailers, since sales again disappointed.
“When they adjusted for inflation, retail sales in Scotland fell 0.5%. That is a slight improvement in June figures, but shows that buyers continue to reduce purchases as economic uncertainty continues to increase.
“Within the general disappointment there were some bright points. Food sales shone in the first half of the month while the Scots took advantage of the warm climate to cook the barbecue and summer meals.
“Telephone sales worked well, like some ranges of toys and furniture. Against these televisions they continue to disappoint, with few homes investing in high -end entertainment despite the large number of sporting summer events.
“The fashion ranges performed badly, although the probability is that the buyers made their summer purchases at the beginning of the year when the sun emerged.
“The harsh truth is that Scots are holding spending as concerns about the economy grow.
“That is leaving stores in the stake, facing higher costs as a result of the United Kingdom government budget last year without the growth necessary to pay those invoices.
“With little view, the economic climate will be illuminated, many retailers, especially those on the main street, face increasingly unpleasant options in the coming months.”
Linda Ellett, Chief of Consumer of the United Kingdom, retail and leisure in KPMG, described the current commercial environment as “challenging” for retailers.
“The fifth warmer Julio in the United Kingdom in the metal office registry brought an impulse to appliances and food and beverage sales,” he said.
“But the increase in inflation was also a promoter of the latter and non -food monthly sales are only growing in about 1% on average today.
“With the employment costs that have increased and inflation both a business and consumption pressure remains a challenging commercial environment for many retailers.
“While most consumers in which KPMG surveys trust their ability to balance their monthly household budgets, large ticket purchases are considered more in the context of the increase in essential costs and continuous caution on the economy and labor market.
“The holidays are the priority for many this summer, but those who are directed have had to account for a higher travel cost.
“Consequently, spending in some areas of the retail sector remains moderate and competition for consumer spending will remain fierce.”
The figures were published in the SRC-KPMG retail sales monitor for July.
