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- Decline in UK retail sales volumes ease less than expected in February - CBI
Decline in UK retail sales volumes ease less than expected in February - CBI
The
Confederation of British Industry (CBI) reported on Tuesday its latest survey
of retailers showed retail sales volume balance stood at -45 in the year to February,
up from -50 in January.
Economist had
forecast the reading to improve to -38.
In addition, retail
sales volumes are expected to drop at a steeper pace in the year to March (-62).
The report also
revealed that the retail orders balance also decreased (balance of -36, from -45
in January) with an even sharper decline seen next month (-44). Meanwhile, internet
sales increased at a record pace (balance of +75, from 43 in January), providing
relief for some retailers; another historically strong performance expected in
the year to March (+78).
In other survey
results, employment in the
retail sector dropped for the 17th consecutive quarter and at a faster pace
than in the year to November (balance of -44, from -32 in November), and similar
fall is anticipated in the year to March (-44). Investment intentions for the
quarter ahead stabilized compared to November (balance of -2, from -19 in
November).
“With lockdown
measures still in place, trading conditions remain extremely difficult for
retailers,” noted Ben Jones, CBI Principal Economist. “Record growth in
internet shopping suggests that retailers’ investments in on-line platforms and
click-and-collect services maybe paying off, but the re-opening of the sector
can’t come soon enough to protect jobs and breathe life back into the sector.”
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