Overview
- The British Retail Consortium and KPMG said total UK retail sales rose 1.3% year‑on‑year in July, a slowdown from June and below the 12‑month average of 1.8%.
- Food sales climbed 3.8% in July with pubs reporting about a 10% rise in transactions as England’s World Cup run drove more eating and drinking out.
- Non‑food sales fell 0.7% year‑on‑year as shoppers delayed big ticket purchases, though warm weather lifted clothing, garden and summer‑wear purchases.
- Barclays data showed broader card spending up 2.0% and consumer confidence at a 21‑month high while travel shifted to staycations with airline spend down about 6% and hotels up around 2.6%.
- Industry groups warned that Middle East tensions and the prolonged heat are straining food supply chains, which could push grocery prices higher and further squeeze household budgets into the autumn.