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- UK retail sales fall for the third straight month in July - CBI
UK retail sales fall for the third straight month in July - CBI
The
Confederation of British Industry (CBI) reported on Thursday its latest survey
of 93 firms, of which 46 were retailers, showed retail sales volume balance improved
to -16 in July from -42 in June. It
was the third consecutive month of decline in retail sales, the longest period
of contraction since 2011.
Economist had
forecast the reading to come in at -10.
The report also
revealed that orders placed on suppliers also fell for the third consecutive
month, but at a slower pace than the previous month.
However, both
sales and orders are expected to be broadly flat next month.
According to
the report, grocers were the largest positive contributor to headline sales
growth this month, reversing fortunes after a large fall last month. However,
this was more than offset by drops in other categories, particularly department
stores, clothing and other normal goods.
Rain Newton-Smith, CBI Chief Economist, noted: “Whilst last year’s summer strength in retail sales is driving some of the comparative weakness this year, it is still hugely concerning that sales have fallen for the longest period in almost eight years. Despite the recent pick-up we’ve seen in households’ real earnings, the sun is clearly not shining on the British High Street. The UK economy has reached a fork in the road. The new Prime Minister must now do everything in his power to achieve a good Brexit deal, thus protecting jobs and our economy.”
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