“Fashion retailers will be particularly concerned having recorded negative high street sales for 10 consecutive months. The new government has pledged to breathe new life into Britain’s high streets, with a five-point plan to attract shoppers back to city centres. For the UK’s struggling retail sector, this rejuvenation plan cannot come soon enough,” he said. Sophie Michael, Head of Retail and Wholesale at BDO.
Fashion sales in UK brick-and-mortar stores fell by 6.7% in June, marking the tenth consecutive month of negative figures, according to BDO. In contrast, online sales rose by 9.9%. Total retail sales grew by 3.2%, driven by a 9.8% increase in online sales. The lifestyle sector also saw growth, with total sales up 7.5% in June.
Despite the poor performance of fashion stores, total retail sales in physical stores and online grew by 3.2 percent in June, representing the highest sales growth since August 2023. This marks the second consecutive positive month for total retail sales, after five months of negative results. However, BDO data, which examines sales across all discretionary spending categories, indicates that this growth was predominantly driven by online sales, which rose by 9.8 percent. Physical store sales, on the other hand, posted a modest performance with growth of just 1.8 percent, according to BDO.
The lifestyle sector has maintained a positive trajectory throughout 2024, with total sales growing by 7.5% in June. Both in-store and online sales contributed to this positive result, demonstrating a balanced performance across the different retail channels.
Fibre2Fashion (DP) Press Desk
